Tesco grilled by MPs over alcohol offers

By James Wilmore

- Last updated on GMT

Related tags Alcohol Alcoholic beverage Supermarket

Tesco has been forced by MPs to defend its policy on where it promotes alcohol in stores, but admitted it does sell some drink at below-cost. During...

Tesco has been forced by MPs to defend its policy on where it promotes alcohol in stores, but admitted it does sell some drink at below-cost.

During a lively health committee session in Parliament yesterday, MPs suggested some major supermarkets alcohol deals are found at the end of aisles with children's clothes and people "fall over" promotions as soon as they walk in the door.

David North, Tesco community and government director, said the company did not "seek to" place alcohol at the end of a childrens' aisle.

But he added: "If one is running more than 1,000 stores there may well be regrettable cases where that comes about, but we would seek to act on them."

However he admitted that selling drink away from alcohol aisles is "something you will see in our stores".

But he said: "Most customers who purchase alcohol find that helpful because it's something they can then put into their trolleys."

North argued though that customers often "traded-up" on promotions and buy them as part of their weekly shop.

Jeremy Beadles, chief executive of the Wine and Spirit Trade Association, said the trade had "struggled with the issue" over where alcohol should be promoted in store, but there were problems around competition law.

North was later asked how Tesco justified selling alcohol as a loss leader and below-cost. He responded: "We do not set out to sell alcohol below cost and most of our alcohol is not sold below cost." He acknowledged it was a "highly competitive" sector and promotions on alcohol influenced the way people shop.

Later as part of the inquiry into alcohol, Jeremy Blood, managing director of Scottish & Newcastle, representing the British Beer & Pub Association, said he was against minimum pricing because it would not change the behaviour of people who mis-use alcohol.

But Mike Benner, chief executive of the Campaign for Real Ale, said the group supported a minimum price as there would be a "shift in consumption" back to the on-trade.

Earlier Dr Petra Meier, of Sheffield University, said there was evidence that a minimum price of 50p would stop 3,400 deaths a year.

Related topics Legislation

Property of the week

Follow us

Pub Trade Guides

View more