I don't understand people who have dogs in built up areas, especially inner cities. I live in an area dominated by student residences, and council flats during the week and every second person I see has a dog - even malamutes, Alsatians, Newfoundlands, all sorts. Why? It doesn't benefit the dog, cooping it up inside a house?!
I have a dog at my mums, she lives in a tiny village on the seafront and her garden backs on to fields. I can walk the dog through the fields (unowned, unmanaged), on the country lanes and on the beach (dog friendly beach, on the lead, at 6am when no one else about). Most people in the village own dogs of some sort - mainly normal, family dogs.
We have the space and free areas where dogs can be left off lead without the worry of them bothering others.
The only people I can understand having dogs, are those who own farms, who need them for work purposes (e.g. stalking or game keeping, my relatives involved in this generally have 6 or 7 workers and 1/2 pets) or if you live rural and have the time and energy to care for a dog with space to walk it etc.
Why have a dog in a city where parks and greenery are in short supply anyway, it just clutters the park up with poo (far less of a problem in rural areas where dog poo will be outnumbered hugely by sheep, deer, cow, horse, rabbit) and causes problems for people on the street.
I'd be all for a licence that has strong conditions attached, especially around breeds, whether you have the time to care properly for the dog and whether you're in the right area.
If you're in a flat and you must have a pet, get a bloody fish or gerbil. Even having a cat in a flat or heavily residential area is a bit cruel!