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Critics slam 45p minimum price in Scotland

View postBy Ewan Turney, 03-Sep-2010

Related topics: Duty & VAT, General News

Supermarket beer: cheap

Supermarket beer: cheap

A Scottish pub trade leader has hit out at the 45p a unit minimum price plan fearing it will damage the sector.

The Scottish National Party announced yesterday that it planned to press aheda with plans for a 45p a unit minimum price.

It will be made in an amendment to the Alcohol (Scotland) Bill, which is about to start the second stage of its Parliamentary process.

"The benefits claimed by the Scottish Government for their minimum pricing policy seem very marginal relative to the number of consumers that would be impacted by the change," said Scottish Beer and Pub Association chief executive Patrck Browne.

"Our concerns remain about the potential problems that could be caused to the licensed industry in Scotland by the implementation of a policy that is untried and untested, and which could damage the sector even inadvertently.

"Our view remains that any change in government policy in relation to alcohol pricing and taxation needs to be implemented across the UK and not on a piecemeal basis."

Supermarket giant Morrisons also hit out at the proposals, saying the only sensible way to act on cheap sales was a ban on selling below the cost of duty and VAT.

"Morrisons does not support a minimum unit price which would only serve to punish our customers in Scotland — the vast majority of whom drink responsibly," said director of corporate affairs Richard Taylor.

"We would like to reiterate our view presented in a letter to the Home Secretary in June this year.

"As stated in our letter, instead of a minimum unit price we believe that the UK Government should legislate to stop the sale of alcohol below the rate of duty plus VAT."

He added: "This mechanism, if enshrined in law, would provide an immediate and fair approach to stem the misuse of alcohol and provide a solution across the whole of the UK, including Scotland.

"If the Government thinks price is a way to affect demand it can do so by raising duty knowing that it will apply across the UK. As a demonstration of our commitment to this proposal, Morrisons does not sell alcohol below the cost of duty plus VAT."

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