Government backpedals on below-cost alcohol sales ban

The Government has delayed a ban on below-cost alcohol sales, despite the fact that the Conservatives made it a pledge ahead of the General Election.

As part of its business plan for 2011-15, released today as part of a drive for increased Government accountability, the Government indicated that it would introduce legislation to implement changes to alcohol pricing only "if necessary".

The Government had originally planned to introduce the ban as part of an overhaul of the Licensing Act 2003, via the Police Reform and Social Responsibility Bill, set to become law next summer. The business plan indicates that it is due to conclude work this month on developing proposals to strengthen local authority and police powers to remove licences from, or refuse to grant licenses to, any premises that are causing problems. It will also allow councils and the police to shut down permanently any shop or bar found to be persistently selling alcohol to children, double the maximum fine for under-age alcohol sales to £20,000 and permit local councils to charge more for late-night licences to pay for additional policing

But instead of using the bill to ban low-cost alcohol sales as well, the Government indicated that it now plans to "develop proposals to change alcohol pricing to ensure that it tackles binge-drinking, including options to ban below-cost sale of alcohol, working with other government departments" by April 2011 instead. And it warned that these pricing options "must be enforceable, compatible with EU trade law and easily implemented by business".

Any legislation to put the plans into practice would not be implemented until the second session of Parliament, in May 2012.

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By Neil Gerrard

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