I agree with JayDay.
I've been informed by WWDC licensing officers that the magistrate's court cancelled the premises licence (for any entertainment, alcohol etc) on the Friday only due to safety fears after listening to evidence given by the Police and the festival organisers (and their barristers).
I don't know anything about the detailed discussions and negotiations which went on between WWDC officers, police and the festival organisers about revising the security arrangements as new details came in about the type of risks emerging, but it is fair to say that the Police were very positive about the festival right through all the planning stages and it is very normal for Police to ask for revised security arrangements if the perceived risks change. I read on one website that the organiser refused to increase the security staff after the Police asked for this. Therefore, it is debateable whether the festival organiser was serious about defending the application to cancel the Friday licence in Court (ie. as ticket sales were low, it may have suited him for it to be cancelled anyway).
Clearly, the festival organisers and Press span their own line to make an interesting story. I know for myself that some sections of the Press love to print a headline along the lines of "Well-known character BANNED from something" .... whether its true or not.