The House of Commons Health Committee are set to release a report on the 7th January 2010, calling for minimum pricing and other measures to address alcohol related harm. The report comes following the Committee's alcohol inquiry which has heard evidence and representation from a wide range of interests from medical professionals to industry representatives and retailers.
According to this Guardian story, the Committee's MPs:
- claim that the drinks industry has not been properly reined in for its promotion of alcohol and demand new regulations and monitoring to deter "irresponsible" promotions, such as happy hours;
- criticise supermarkets for contributing to alcohol-related harm by selling drink at less than cost price as a loss leader to encourage customers to shop with them, and condemn the sale of alcohol in some places for just 10p a unit;
- highlight young people's vulnerability to excess alcohol by saying that drink is involved in 25% of deaths involving young men aged 16 to 24, through car crashes, accidents and violence, for example;
- suggest greater rights for local councils and residents affected by drink-related anti-social behaviour to challenge the right of premises with poor records to hold a licence;
- urge the Treasury to reduce the duty on drinks which contain less than 2.8% alcohol by volume, to encourage greater consumption of lower-strength wines and beers;
- and endorse the use of other forms of action on pricing as well as minimum unit pricing.
According to the Morning Advertiser, the committee's three Conservative members opposed the call for minimum pricing as of their party line. Instead the Conservatives have pledged to target taxes at 'cheap drinks that fuel anti-social behaviour' and 'tear up the Government's lax licensing regime'.
The Scottish National Party are currently attempting to bring in minimum pricing north of the border, though are reportedly unlikely to succeed without the support of the opposition parties. In England & Wales, Gordon Brown has opposed calls from the CMO and other health bodies, though the bill to enact a mandatory licensing code was recently passed.
As a consultant working with the trade to promote the licensing objectives I would support these proposals. But one issue that surprises me is that if there is a move toward reducing duty on low alcohol drinks I feel that this will not lead to a reduction of the price at the counter, only increase profits. The evidence for this can be seen when we see that even soft drinks that cost a fraction of 1p to produce are sold at not much less than alcohol alternatives. For some time the 'on trade' have complained about loss leaders but don't even compete against the alcohol prices with their soft drinks. The problems we are experiencing are societal and need to be addressed along with other standards and values we are passing on to our young people. This will therefore take a generation to change and results should not be expected during the term of government.
Posted by: Nigel Dermott | Friday, January 08, 2010 at 09:22 AM