
The Chief Medical Officer for England, Sir Liam Donaldson has
proposed a minimum price of 50p per unit of alcohol contained in drink as a baseline price which, apparently, will
is aimed at tackling alcohol misuse and is set out in his annual report on the nation's health
. The BBC's health correspondent, Adam Brimelow, added that recent research from the Department of Health had shown that a minimum of 50 pence per unit of alcohol would reduce consumption by almost 7%. Which is totally at odds with the
claim by the Scottish Government, backing the Royal College of Physicians, that a 30p unit minimum price will reduce consumption by 30% published on the BBC site a mere 2 days earlier. Unless the locational stereotype of the tight fisted Scotsman is actually a reality.
A bottle of Marstons Old Speckled Hen has, according to the very limited
Drinkaware calculator, 2.56 units of alcohol. Under the new proposals it would have a minimum price of £1.28 which is lower than it's normal retail price.
A 500ml can of Fosters, containing 2 units would have a minimum price of £1.00
A pint of Stella, 2.95 units, £1.48
A bottle of generic vodka, 28 units, £14.00
A 13% bottle of wine, 9.75 units, £4.88 (although having just seen a BBC report on the TV they are reporting this as a £4 price rather than a £5 price)
CAMRA may not be too upset as it should not affect the price of a pint of beer in a pub but will impact on supermarket sales. To be fair to CAMRA they have been campaigning for a long time to reduce the tax on draught beer rather than increasing tax on all alcohol.
So who wins?
1. To regulate and police the proposals there will be, no doubt, an army of pricing police who scour the country checking compliance.
2. Increasing the price that we the consumers pay will increase the VAT revenue for the government.
3. Being 'forced' to charge more for alcohol can't really upset the likes of Tesco. While it will remove the opportunity to use alcohol as a loss leader they can go back to offering other products below cost.
4.
Small breweries that have higher operating costs might see people switch to their products which, at present, are less attractive than mass produced products.
Who loses?
1. The
evil nasty tossers who sell alcohol at discounted prices would be forced to stop discounting.
2. ANYONE who buys alcohol.
Is there any hope?
Well there might be. The
Adur Brewery has a quote from a ruling by The European Court of Justice from when they threw out the Greek idea for minimum pricing for tobacco.
measures based on Article 30 of the Treaty cannot be justified unless they are necessary in order to attain the objective pursued by that article and that objective is not capable of being attained by measures which are less restrictive of intra-Community trade.
and
In this case it must be observed that the objective of protecting public health may be adequately attained by increased taxation of manufactured tobacco products, which would safeguard the principle of free formulation of prices.
It seems that once again we may have to rely on the EU to prevent The Labour Party from screwing us with ever more restrictive legislation. An ironic situation indeed. After all that I need a drink.