Friday, October 3, 2008

The woman who waters the workers’ beer


Here’s a picture of Sally Keeble MP, who has sponsored the Private Members’ Bill calling for the introduction of minimum drink pricing. As I am not The Devil’s Kitchen, I will go no further than to call her a miserable cow.

But it struck me that this is a profoundly snobbish measure – the middle classes will still be able to jug themselves to oblivion on craft-brewed ales, chateau-bottled wines and single malt whiskies, but the poor will have to pay more for cheap crap, which is often all they can afford. It will, in practice, inflate the household bills of poor families while leaving the better-off completely unscathed. In short, it is a highly regressive measure – but of course, as we have seen with tobacco duty, self-proclaimed socialists have never been afraid to screw the poor financially.

Also, despite its declared intentions, surely minimum pricing will end up placing more emphasis on alcoholic strength, not less, as at the lower end of the drinks market there will be a much more direct association between price and strength. If it commands a price premium, stronger will be perceived as better to a much greater degree than at present.

Thursday, October 2, 2008

I’ll drink tae that

Excellent news from Scotland that the SNP’s ill-considered plan to raise the minimum age for buying alcohol in the off-trade from 18 to 21 have been decisively defeated by 72 votes to 47 in the Scottish Parliament.

Of course the killer point against this is the one made by Tory deputy leader Murdo Fraser: “They are creating an even more ludicrous situation whereby a soldier returning from a tour of duty in Iraq or Afghanistan at the age of 20 cannot buy a bottle of champagne from the off-licence to celebrate with his wife on his return.” A point also made in my Opening Times column for October.

And of course the proposal does not sit at all well with the SNP’s declared intention to reduce the voting age in Scotland to 16.

It’s also worth having a look at the very responsible and well-argued website produced by CARDAS, the mainly student-led Coalition Against Raising the Drinking Age in Scotland.

Wednesday, October 1, 2008

The minimum Trojan horse

Although in my view it’s a bad idea for numerous reasons, many supporters of pubs have been attracted to the idea of minimum pricing of alcohol as a means of curbing some of the discounting excesses in the off-trade. But what is being proposed in a Private Members’ Bill put forward by Sally Keeble MP goes far beyond a simple flat-rate minimum price per unit.

The private members’ bill calls for the setting up of a Drinks Industry Council (DIC), made up of representatives from the industry, producers, police, health care, youth sector and consumers, which would advise Government on a minimum price for a unit of alcohol, promotions and set codes of conduct.

The minimum price would be set by the Government after advice from the DIC with different prices being set depending on product, alcoholic strength, region and the type of establishment selling it. The minimum price would be reviewed every year.

The Bill also calls for limits on alcohol advertising by supermarkets and the areas in which alcohol can be displayed and the introduction of a standard warning label for all drinks.
In other words, the creation of a whole new structure of bureaucratic control to regulate prices across all sectors and many other aspects of the drinks trade. In reality, with the vast burden of regulation they suffer already, the trade need that like a hole in the head. And, with “health” interests involved, you can be sure that there would be a steady year-on-year pressure to raise prices and cut back promotions.

And nobody has yet answered the question as to who benefits from the difference between the official minimum price and the market price.