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   Web Issue 3499 July 6 2009   
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‘Ban will fail to stop shops selling cheap alcohol’
MARTIN WILLIAMSSeptember 06 2007

Scottish retailers say plans to ban cut-price beer and spirits deals as part of a Holyrood campaign to tackle alcohol misuse will fail to stop them from selling cheap booze.

Shopkeepers believe that the ban on drink promotions will actually lead to cheaper alcohol in stores, more trouble and more ill health in Scotland.

Kenny MacAskill, the Justice Secretary, announced proposals yesterday that would bar off-licences and supermarkets from offering schemes which encourage customers to buy more alcohol, such as three for the price of two promotions.

The 2005 Licensing Act, due to come into force early next year, also outlaws irresponsible promotions in pubs and clubs, but only in some off-sales.

However, yesterday questions were raised about whether the proposals could be a non-starter if challenged under European Community or British competition law.

The Office for Fair Trading is anticipating a challenge when the proposals go to consultation. Announcing the plan at Alcohol Focus Scotland's annual conference yesterday, Mr MacAskill said: "I won't stand by and do nothing, watching alcohol misuse tighten its grip and continue to wreak havoc on the lives of people up and down Scotland.

"By taking action to turn off the tap of cheap drink, to end irresponsible promotions wherever alcohol is sold, and making sure alcohol isn't sold at every turn in the supermarket, I believe we can turn this around."

But the Scottish Grocers' Federation (SGF), which represents 5500 convenience stores, the Scottish Retail Consortium (SRC) and supermarkets predicted the move would fail in its aim to cut the abuse of alcohol.

The SGF said the plan was "poorly thought out and lacked understanding of how business works" and would only lead to supermarkets cutting the cost of single bottles and cans instead.

John Drummond, chief executive of the SGF, said: "Instead of three for £10 we will see one bottle for £3.30 or even less.

"Forcing retailers to compete only on price will squeeze margins, encourage loss leading and threaten the existence of hundreds of community stores across the country."

The SRC and Wine & Spirit Trade Association (WSTA) said there was no evidence to show that an increase in the price of alcohol would successfully combat alcohol misuse.

WSTA chief executive Jeremy Beadles said: "We do not believe that the announcements will do anything except restrict consumer choice and damage the Scottish economy."


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