Demerit points and star ratings for licensees
Demerit points and star ratings encourage compliance with liquor laws and affect your annual renewal fee.
On this page
Demerit points and star ratings encourage licensees to stay compliant with liquor laws.
They are linked to 6 particular incidents of non-compliance with the Liquor Control Reform Act 1998.
Demerit points:
- penalise non-compliance with liquor laws
- increase your annual liquor licence renewal fee for 3 years
- can lead to licence suspension for repeated offences
- apply to all permanent licences or permits.
Star ratings:
- reward consistent compliance with liquor laws
- can lower your annual liquor licence renewal fee
- do not apply to sexually explicit entertainment venues.
Demerit points
If a licensee commits certain high-harm offences, they get one demerit point per offence added to their licence.
Each point stays on the licence and substantially increases your renewal fees for 3 years.
A licence is automatically suspended depending on the number of demerit points recorded within a 3-year period:
- 5 points = 24-hour suspension.
- 10 points = 7-day suspension.
- 15 points = 28-day suspension.
High-harm offences
Only these 6 offences count as non-compliance incidents for the purpose of demerit points and star ratings:
| Offence | Section of the Act |
|---|---|
| Supply liquor to intoxicated person | 108(4)(a) |
| Permit drunken or disorderly person on licensed premises | 108(4)(b) |
| Supply liquor to underage person, other than as permitted | 119(1)(a) |
| Permit liquor to be supplied to underage person, other than as permitted | 119(1)(b) |
| Liquor is supplied to underage person on licensed premises, other than permitted | 119(2) |
| Permit underage person on licensed premises, other than as permitted | 120(1) |
How we issue a demerit point
You receive a demerit point on your licence or permit if you are found guilty of one of the 6 high-harm offences.
We issue the demerit point when you:
- pay the fine amount in full
- start a payment plan for the fine with Fines Victoria
- are successfully prosecuted in court for the offence.
Once a demerit point is issued, we will record this on the demerit point register on our website:
Demerit Point Register - 1 April 2026 PDF 262.03 KB (opens in a new window)
If you get a demerit point
If you get a demerit point:
- it will increase your annual liquor licence renewal fee for 3 years
- you must complete Advanced Responsible Service of Alcohol training within 6 months of being notified of your demerit point if you have a general or on-premises licence, including a late night general or on-premises licence.
Removing a demerit point
Demerit points are removed if:
- the demerit point expires (3 years after it was recorded)
- we grant an application to remove demerit points. To apply, use the removal of demerit point kit:
Removal of demerit point kit PDF 200.99 KB (opens in a new window)
- a penalty infringement notice is withdrawn by the issuing authority
- the licence is transferred and there is no relevant relationship between the current and new licensee. If there is a relationship, the new licensee can still apply to have the demerit points removed using the removal of demerit point kit.
Star ratings
Star ratings are based on the number of non-compliance incidents at your licensed venue or location.
You get a discount on your annual licence renewal fees if you’ve had 2 or more consecutive years without a non-compliance incident.
All venues start with 3 stars. They can then gain more stars or lose stars.
Venues with a:
- 4 star rating get a 5% discount on their overall annual licence renewal fee
- 5 star rating get a 10% discount.
| Rating | Rating criteria |
|---|---|
| 1 star | 3 or more non-compliance incidents in the previous 12 months |
| 2 star | 1 or 2 non-compliance incidents in the previous 12 months |
| 3 star | No non-compliance incidents in the previous 12 months |
| 4 star | No non-compliance incidents in the previous 24 months |
| 5 star | No non-compliance incidents in the previous 36 months |
You can find out your star rating by searching for your liquor licence number on the liquor licences online portal.
You do not need to display your star rating.
Star ratings do not apply to sexually explicit entertainment venues.
Updated 2 April 2026
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