Tuesday 18 January 2011

Minimum alcohol price levels planned by coalition

Ministers have unveiled plans for a minimum price for alcohol in England and Wales.

They say banning shops and bars from selling drinks for less than the tax paid on them will send a signal that they are serious over cheap alcohol.

It works out at 38p for a can of weak lager and £10.71 for a litre of vodka.

Health campaigners say that is too low to have an impact, but the drinks industry described the proposals as a "pragmatic solution".

In their coalition agreement, the Conservatives and Lib Dems pledged: "We will ban the sale of alcohol below cost price."
Under government proposals the ban is on sales of alcohol below the rate of duty plus VAT, rather than including the cost of producing the drinks.

Last year, the Scottish Parliament rejected plans for a minimum price per unit of alcohol of 45p, after opposition MSPs said the move would penalise responsible drinkers and could be illegal under European competition law.

Announcing the plans for England and Wales, Home Office Minister James Brokenshire said it acknowledged "concern over how cheaply some alcoholic drinks are being sold" and the link between alcohol and disorder.