Alcohol: Minimum Pricing

Debate between Baroness Hollins and Lord Taylor of Holbeach

Wednesday 24th July 2013 Lords Chamber

[Lord Taylor of Holbeach]

My Lords, the Government are not ignoring the evidence; in fact a study published recently by Sheffield University is very interesting in this subject area. That is why the Government have introduced the whole business of duty plus VAT—so that, for example, low-alcohol beer cannot be sold below 40p a can and strong lager below £1.15. This has been a long-standing problem which Governments of all types have not been prepared to deal with. This Government have a strategy now to deal with it and I hope that it has the support of the House.

[Baroness Hollins]

My Lords, my interest is as chair of the Board of Science at the British Medical Association. I understand that research commissioned by the Department of Health shows that this policy on its own will not have any impact. How much of an increase in price does this new policy represent? I estimate that the policy will mean a minimum shop price of 21p per unit for beer and 28p for spirits—considerably less than the 45p minimum unit price previously being considered.

[Lord Taylor of Holbeach]

My Lords, I have some figures that might inform the House. In 2008—the latest figures that I have available—retailers sold 220 million litres of alcohol below cost. Six out of seven supermarkets sell alcohol below cost. That is what we are tackling with duty plus VAT. It is part of a combination of strategies to reduce alcohol and binge drinking in this country.

Alcohol: Minimum Pricing

Debate between Baroness Hollins and Lord Taylor of Holbeach

Wednesday 10th July 2013 Lords Chamber

[Lord Taylor of Holbeach]

The noble Lord rightly focuses on the elements of the Government’s alcohol strategy that were put out to consultation. I have explained that a response to that consultation will be delivered in due course. Availability is one of many factors but to suggest that this Government have not been tackling the problem underestimates what has been achieved. The late-night levy has been introduced. The early morning alcohol restriction order, which was created under the previous Government but not commenced, has been commenced by us and we have sought to rebalance the licensing arrangements so that the ability of individuals in the vicinity to object to licences is now greatly strengthened. I totally accept what the noble Lord has said and indeed the Government’s strategy will demonstrate that.

[Baroness Hollins]

Canada has introduced and evaluated a minimum unit price for alcohol. By introducing a 10% increase in the minimum unit price for some drinks there has been a decrease of 33% in wholly alcohol-related deaths. Given this evidence, when will the Government commit to including a minimum unit price as part of their alcohol strategy?

[Lord Taylor of Holbeach]

This is just the sort of evidence being evaluated by the Government. I accept that we also have the Scottish experience whereby the Scottish Parliament has passed legislation on this issue. That is subject to a court appeal but we are taking note of what is going on elsewhere.