Monday 2 March 2009

Scotland to impose minimum price on alcohol

Measures to tackle alcohol abuse by stopping cut-price offers have been outlined by the Scottish Government. It has proposed a range of measures including the radical step of a minimum price per unit. It would be the first country in Europe to take the step. The details of the price to be set will be worked out with economists to find the most effective level. The blueprint said the amount of advertising by supermarkets over recent months suggested that cheap alcohol did play a key role in determining where people shop. Health Secretary Nicola Sturgeon said: "Plummeting prices and aggressive promotion have led to a surge in consumption, causing and adding to health problems ranging from liver and heart diseases to diabetes, obesity, dementia and cancers.

However, the proposals have not been universally welcomed. Fiona Moriary, director of the Scottish Retail Consortium, said the plans would add costs to responsible shoppers without making any difference to irresponsible drinking. She said: "Irresponsible drinking is not about price or availability yet this is the main focus of the government's approach. We need to develop solutions that educate rather than alienate, instead the government has retreated to its bunker and is neither listening to the evidence presented nor willing to tackle these issues in a consensual manner." The Portman Group, an alcohol industry body which promotes responsible drinking, said the government was not listening to reason. Chief executive David Poley said: "People who drink to get drunk would not be influenced by these measures
Do you think setting a minimum price for alcohol will reduce consumption? What factors will determine its success?
What externalties ar associated with excess drinking? Even if price controls don't reduce consumption is it something that could have benficial effects?

4 comments:

Timbus2u said...

I think this measure will have little effect. Alcoholics and people who drink excessively will not be deterred by a higher price but people who drink socially and at home etc will be the people most affected. Some people drink and go out of their way to cause problems but on the other hand many people drink as a form of relaxation who cause no negative externalities and i find this unfair. It is hard to impose such a drastic measure without effecting people who are undeserving. If anything, nightclubs should be targeted due to the cheap price of drinks and the externalities associated with this eg fighting and illness. After all, they are where most alcahol related issues arise.

Pimmz92 said...
This comment has been removed by the author.
Pimmz92 said...

I think its a good idea. however, it will not slow down the increasing rate of alcohol consumption, as it will only encourage people to buy much more of the cheaper drinks. Therefore, the consumption of spirits may decline.

Unknown said...

Is this minimum price on places like your off-licences etc or is it across the board, i.e Pubs, clubs also? Cus if you go into a pub it'll cost you way more for a pint of beer than if you go to the off-licence or supermarket and buy a crate of beer for much less, in which case it would make sense just to set a minimum price for these retailers' prices.

Supermarkets make loads on selling really cheap alcohol and many people go out, buy alcohol from a supermarket for peanuts, have some drinks with friends first, and then go out and hit the clubs where they drink even more. This I imagine has a lot to do with the failing pub industry as they are being undercut by supermarkets prices and therefore have less drinkers in. At least if there was a minimum price set on alcohol bought from retailers then more people would be encouraged to spend a few Pounds in the pubs again and still people will buy still relatively cheap alcohol from retailers.

I also noticed "Scotland will be the first EU Country to take these measures" or something similar. This would be because in the some EU countries like in Scandinavia it'll cost you £5 a pint and across Europe on the whole they don't have binge drinking prolems like we do here. Something to do with education?