Minimum alcohol price 'unlikely to reduce UK drinking levels'
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Introducing a minimum price for alcohol is unlikely to cut UK
drinking levels, according to a report published today.
Ex-Deloitte director Tim Wilson said his research found just over
one in five (21%) adults would buy less alcohol if a minimum price
was set.
A total of 26% said they would drink the same amount and spend more
money, 9% would look for ways to buy alcohol more cheaply and 10%
would switch to cheaper brands.
Overall, 52% said they would either spend more on the same amount
of drink or look for cheaper alternatives.
Earlier this year, the Chief Medical Officer for England, Sir Liam
Donaldson, called for alcohol to be set at 50p per unit.
Prime Minister Gordon Brown distanced himself from Sir Liam's
comments, saying the Government did not wish to penalise the
majority of sensible drinkers.
Scotland is currently debating introducing a minimum price.
Mr Wilson, who worked in the food and drink division of Deloitte,
publishes a quarterly study - the Wilson Drinks Report - based on
industry trends and consumer attitudes.
He said: "We are yet to be persuaded that minimum pricing would
actually work as intended.
"Research suggests consumers will either take the hit on price or
simply switch to a cheaper alternative.
"Minimum pricing is obviously good news for the Government as
higher retail prices will yield additional VAT.
"However minimum pricing is both good and bad news for retailers.
Any price rise at the till goes directly to the retailer, and they
may or may not share any windfalls with their suppliers.
"The research shows that 89% of British adult drinkers buy alcohol
in supermarkets.
"Our analysis also shows that retailers' own label alcoholic drinks
have some of the lowest prices per unit of alcohol. Any
implementation of minimum pricing would hit these drinks the
hardest.
"Minimum pricing might be a very simple concept to apply, but the
research suggests it is unlikely to reduce consumption. It may also
be illegal under EU competition law."
The report found that the proportion of people who drink at home
before going on a night out varies by region.
Those in Scotland are the most likely to have at least two drinks
at home (22%), compared with 18% in London and 10% in Wales.
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