EC: minimum pricing can be legal

By John Harrington

- Last updated on GMT

Related tags Minimum pricing European union

The European Commission says EU competition law won't stop countries setting a minimum price of alcohol as long as certain conditions are met. The...

The European Commission says EU competition law won't stop countries setting a minimum price of alcohol as long as certain conditions are met.

The Scottish National Party said the statement shows its own plans to set minimum pricing will fall within EU rules.

In a reply to a Parliamentary question from a Labour MEP, the European Commission said: "The Commission recognises the right of member states to pursue public health objectives and welcomes, in principle all initiatives which aim at reducing harms to public health, in particular alcohol related harm."

It pointed to a directive on competition, which is said "does not prohibit member states from setting minimum retail prices for alcoholic beverages.

"However, any such national measure and its effects still need to be compatible with other provisions of Community law, including the EC Treaty's rules on the free movement of goods."

Referring to a court ruling that price controls could impact on competition and imported products, the Commission said: "On the other hand this would not be the case if pricing rules applied to all relevant traders operating within the national territory."

It would also not apply if the rules affected all producers, domestic and foreign, in terms of marketing.

SNP MEP Ian Hudghton, of the Parliament's Internal Market committee, said: "The SNP and the Scottish Government have always been clear that minimum pricing on alcohol is both legal and necessary.

"This answer makes clear that the proposal for minimum pricing on alcohol is well within EU law and kills off opposition and industry suggestions to the contrary.

"The Commission have made it perfectly plain that the plan set out by the Scottish Government would be within trade rules, and that the European Court has already ruled that this kind of action is permissible.

"Instead of using European rules as an excuse to oppose what is a much needed change to Scotland's relationship with alcohol it is time for opposition parties and the industry itself to accept the evidence and to support the policy.

"It is disturbing that attempts to attack the policy on legal grounds have come from those interested in the premium end of the drinks market which will be relatively unaffected.

"All the evidence indicates that increasing the price of problem drinks such as cheap beers and ciders will improve health and cut irresponsible alcohol consumption - as well as helping to reduce the £2.5 billion cost to Scotland's public services of alcohol related problems.

"Minimum pricing has the support of all of the UK's Chief Medical Officers and the WHO amongst others. As the SNP Scottish Government brings in the legislation for minimum pricing it is time the opposition and the industry joined them."

The Scottish Government is pushing ahead with minimum pricing as part of its Alcohol Bill this Parliament.

Related topics Legislation

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