Minimum price for alcohol ruled legal
Despite protests by the Scotch Whisky Association (SWA), the UK Supreme Court ruled on 15 November 2017 that Scotland can set a minimum price for alcohol.
Legislation was approved by the Scottish Parliament in 2012 but has been tied up in court challenges.
In an unanimous judgment, seven Supreme Court judges said the legislation did not breach European Union law. The judges also ruled the measure a “proportionate means of achieving a legitimate aim”.
Ministers said a GBP 0.50-per-unit minimum (USD 0.67) would help tackle Scotland’s “unhealthy relationship with drink” by raising the price of cheap, high-strength alcohol.
The SWA had claimed the move was a “restriction on trade” and there were more effective ways of tackling alcohol misuse.
The way minimum pricing works is not via a tax or duty increase. It is a price hike for the cheapest drink, with any extra cash going to the retailer.
Minimum pricing is expected to be introduced in May 2018. The GBP 0.50-per-unit minimum outlined by the legislation could raise the price of the cheapest bottle of red wine to GBP 4.69 (USD 6.25); a four-pack of 500 ml cans of 4 percent ABV lager will cost at least GBP 4.00 (USD 5.33) and a 700 ml bottle of whisky about GBP 14.00 (USD 18.70).
Pubs and bars are unlikely to be affected as they usually charge much more than GBP 0.50 per unit.
The aim is to hit consumption of strong alcohol which is sold at low prices.
The new laws will be “experimental” and expire after six years unless renewed.
Supporters of minimum pricing believe the move is necessary to tackle the country’s binge drinking culture, with Scots buying 20 percent more alcohol on average than people in England or Wales.