LESS money will be available to give to charity with the news that this year's Worcester Beer and Cider Festival will be the last to be given a cut-price licence.

Several hundred pounds were raised for good causes through a collection box last summer.

Organiser CAMRA has, up to now, received a massive reduction in the amount it pays for a public entertainment licence because it gives a percentage of its profit to charities.

But Government legislation will ban the city council from allowing this next summer.

It means, instead of the reduced price of £220 for its entertainment licence this year, CAMRA will be hit with a huge £1,550 fee for the Pitchcroft event.

Under CAMRA's rules, only 10 per cent of any profit can be given to charity and last year's festival did not break even.

Bill Ottaway, of CAMRA, said he was hoping the issue could be sorted out for 2006. "The council did say it was keen to keep it going as the beer festival is part of the Worcester Festival,'' he said.

"We provided information about where proceeds were going but it took 40 minutes to come up with the figure (of £220) and a few round the table were shaking their heads."

Martin Gillies, the council's environmental health manager, said the authority was already reluctant to make such reductions without knowing where the festival's profits were going. "We had no information regarding how much of the profits were going to charity," he said.

"What if they turned round and said that £20 was going to charity and the rest was going in someone's pocket as a salary? No doubt the licensing committee would then take a different view. This is the last time this will occur."

The council has said that the centre of the racecourse could be made a permanent licensed venue so organisers would not pay fees for each event.

This year's festival takes place between Thursday, August 11, and Saturday, August 13.