Speculation rife over minimum pricing
The Government is set to introduce a minimum price of £1 for a can of beer in shops, according to the Sunday People.
The paper reported that the Government would push ahead with plans for a minimum price by July after the Budget failed to push supermarket prices up.
It reports that the minimum price would add an extra £1 to a litre of cider and £5 on a bottle of vodka.
However, the setting of a minimum price still appears to be some way off as it would require Government legislation to circumvent competition laws.
So, the reporting of an agreed price is somewhat premature.
Last week, Department for Business, Enterprise and Regulatory Reform minister Pat McFadden admitted minimum pricing was one option being considered to curb the deep discounting in the off-trade.
"The Government is looking carefully at ways to reduce alcohol related harm," he said.
"In this context, ministers have been discussing a number of potential policy options, including the possibility of action relating to alcohol pricing.
"Making an exclusion order under the Competition Act remains one of the possible available measures for consideration."
McFadden was responding to a question by All-Party Parliamentary Beer Group chairman John Grogan.
The Selby MP held a meeting with trade representatives and MPs to hear about Canada's Social Reference Pricing - a form of minimum pricing - last week.
Grogan has also been told by the Office of Fair Trading that there would have to be "exceptional and compelling reasons of public policy" for an exemption to be made to the Competition Act.
