(1) The chief executive must cancel the licence if the chief executive—
(a) has given notice to the licensee of an intention to cancel the licence; and
(b) has considered any reasons given by the licensee in accordance with the notice; and
(c) is satisfied that there is a ground for cancellation under section 134; and
(d) is not satisfied that it is appropriate to suspend the licence.
(2) A notice of intention to cancel a licence must—
(a) set out the grounds for cancellation; and
(b) state that the licensee may, not later than 14 days after the day the notice is given to the licensee, give reasons why the licensee considers that the licence should not be cancelled; and
(c) include a statement to the effect that the chief executive may suspend the licence if satisfied that it is just to do so.
(3) The cancellation takes effect—
(a) on the day after the day the chief executive gives the licensee notice in writing that the licence is cancelled; or
(b) if a later date is stated in the notice of cancellation—the later date.