Scots committee split over minimum pricing

By John Harrington

- Last updated on GMT

Related tags Minimum pricing Scotland

Scotland: MSPs divided on pricing plan
Scotland: MSPs divided on pricing plan
The Health and Sport Committee also backs plans for a new disorder levy on premises, and mandatory Challenge 21, in a new report.

An influential committee of MSPs in Scotland are divided over the merits of minimum pricing.

However, the Health and Sport Committee has backed plans for a blanket disorder levy on licensed premises, with "incentives" for those who show they are responsible. It also supports a mandatory Challenge 21-style policy.

A report from the Committee, which is examining Scotland's wide-ranging Alcohol Bill, says there is a "division of opinion" about minimum pricing.

Some members "are not persuaded that the per-unit minimum pricing proposal would achieve what it sets out to achieve and are not convinced that it would be an effective tool in the drive to lower alcohol consumption".

Some predict minimum pricing could mean "substantial" increase in revenue for retailers and producers but less tax paid. Others "profoundly disagree" with this - highlighting savings to policing and health care, as well as the proposed "social responsibility levy".

A number of members say the effect would be "limited" because many hazardous drinkers have high incomes, while it would be "disproportionately" hit poorer people.

"Some members do believe that it would be effective in bringing about a significant change in the population's drinking habits, subject to knowing what the minimum price would be."

The Committee urged the Scottish Government to amend the Bill to specify a minimum unit price.

On plans for the "social responsibility fee", the Committee says a targeted levy based on the "polluter pays" principle would be "too complex to implement in practice".

"The Committee considers that the fairest option is the creation of a universal or blanket levy with incentives for license holders who demonstrate adherence to an agreed level of good practice."

However, MSPs called for greater details, including who will administer the fee, how payment will be determined and an appeals process.

Elsewhere, there were also divisions on whether licensing boards should be able to ban off-sales for under-21s - some say enough powers exist already.

The MSPs backed other proposal in the Bill to curb off-trade promotions: bans on free or discounted alcohol when sales are made, and restricting the location of promotional material.

The MSPs back powers for Scottish ministers to add, delete, or amend mandatory conditions as they see necessary.

The Scottish Government will have to respond to the Report as it presses ahead with the Bill in this Parliament.

Mixed reaction

The Report will get a mixed reaction from the industry, says trade chief Patrick Browne.

The chief executive of the Scottish Beer and Pub Association said: "The fact that a number of members of the Committee have reservations on the concept on minimum pricing should perhaps give the Scottish Government pause for thought on the proposal, certainly unless a specific figure at which the minimum price is to be set is stipulated.

"And the Committee's reservations on the concept of giving Board's the power to ban off-sales of alcohol to under 21 year-olds in their areas will be welcomed by pubs that would be caught inadvertently by the measure.

"Similarly, pubs will welcome support for banning promotional activities in off-sales premises which have already been banned in pubs and clubs since last September."

Browne said compulsory Challenge 21 "will in practice make little difference, given that operators are already bound by law not to sell alcohol to 18 year-olds without proof of age."

He highlighted the "tremendous disappointment" about the MSPs backing the social responsibility fee.

"Licensed operators now face a further tax on top of the estimated £2bn a year they already pay in taxation in Scotland."

Related topics Legislation

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