Trade slams Tory 'booze tax' plan

The trade has slammed Tory plans to raise an extra £400m in tax on alcohol saying it would lead to an increase in binge-drinking as customers choose cheaper supermarket drink over on-trade prices.

This week, the Conservative Party is set to unveil plans to add about 7p to the cost of a pint, 15p to a bottle of wine and 25p to a bottle of whisky.

They claim it tax hike is intended to tackle binge drinking and the money raised would be used to address drug and alcohol abuse.

All you will do is drive more people to the supermarkets where the beer, wine and vodka is cheap and make more pubs close.​Tony Payne, chief executive of the Federation of Licensed Victuallers Association.

However, Tony Payne, chief executive of the Federation of Licensed Victuallers Association, said: "It will do nothing because where is the cheap booze coming from - it's supermarkets where you can buy a pint for 50p. What will an extra 7p mean? Nothing.​

"All you will do is drive more people to the supermarkets where the beer, wine and vodka is cheap and make more pubs close. It will do nothing to solve the problem at all but it will be another nail in the coffin for pubs."

Mark Hastings, director of communications of the British Beer and Pub Association said: "Such a tax hike would do nothing to target or tackle binge drinking and everything to drive drinking underground. ​

"It would lead to a surge in booze cruise shopping, black market and illicit alcohol sales.

"It would drive drinking out of the controlled environment of the licensed market into the arms of the bootleggers.

"It won't even raise more tax as the only people to benefit would be French business and the French Chancellor as people would start shopping there rather than in Britain."