Idiots calls for minimum price for alcohol - Mod Warning Post #1

BeerNut wrote: »

Bad news for the consumer, though. Price variation = competition = good.

I don't think it's going to bring prices down for craft beers... rather it's going to decrease the price differential as the price of all other beers will rise.

The price of buying drink from Off-Licences is going to rocket whilst prces in pubs will remain untouched.

subway wrote: »

as long as offers like this continue up north (which they will) there is really no point pushing up the price of low end beers
http://www.hotukdeals.com/deals/tesco-3-for-20-packs-beer-1037745

irish off licenses are just about competing on this
(bud example)
36 x 300 ml = 10.8lt for 20£ (~24eu) (5%) - 66c per bottle (& stronger abv)
24 x 300 ml = 7.2lt for 15eu-20eu (4.3%) - 75c-1eu per bottle

introduce a min charge and you are potentially looking at doubling the price per bottle, driving people north of the border - almost guaranteed. rent a van and split it between 10 people etc.

while its not explicitly targeting nice beers, multibuy offers could also be in their sights (so 4 for 10eu could be gone) which is a staple in my local offy

finally, the law of unintended consequences is always at play-
for example, people travel north to buy booze, but buy huge amounts. they drink more at home or never visit the pub due to having a small breweries worth int he garden. pb prices go up or pubs go bust
or
people switch to spirits and "home measures", increasing alcohol intake and costing more in the long run

A few comments...

An All-Ireland alcohol policy is being discussed by Govt here and in the north(note the articles in today's paper surrounding alcohol abuse in the north). It is generally accepted that the cheap availability and the subsequent abuse of alcohol has a huge detrimental negative effect on people's lives on this island, regardless of their political jurisdiction.

Tax will not increase on just low end beers, it will increase on ALL alcohol sold from Off-Licences.

Also, there will be minimum pricing based on the amount of alcohol a product has, the higher the alcohol content the more expensive it will be.

Multi-buy offers will be a thing of the past. There will be no savings allowed for the consumer for multiple buys. So, for instance, if 1 bottle of beer costs €2:20, 4 bottles of beer CANNOT cost less than €8:80.

Pub prices won't be hit and they'll be the winners out of these changes, as will home brewing.

subway wrote: »

you've a lot of points in there, first off, while perhaps some common ideal might be agreed, i doubt we will have a cross border taxation and minimum pricing agreement.

You're right, it will be hard to ensure consistency across the island on prices/taxation etc... but there's huge problems regarding alcohol abuse in the north as well and there's a temperance element to the DUP that would be rabidly against alcohol.

subway wrote: »

if minimum pricing will be brought in, (even cross border) the price of a bottle of cheap vodka in NI will still be far below the equivalent in beer bought in ROI (see scottish pricing here http://www.bbc.co.uk/news/uk-scotland-scotland-politics-15525950)

As the level of minimum pricing has not yet been agreed in the north or the Republic then it's impossible to say whether or not alcohol would be more or less expensive in either jurisdiction. Experience tells us that alcohol will remain more expensive in the Republic but if the differential is quite close then it might not be economically viable to drive long distances to purchase your alcohol across the border.

subway wrote: »

i dont see multi buys mentioned anywhere yet, min price could be implemented, but i can still sell 20 bottle for 20eu, whether its 2eu a bottle individually or not, as long as its over the min price per unit

Multi-buys are one of the major changes coming here. They are in addition to minimum pricing. No savings will be possible for the consumer when purchasing more than one bottle/can.

subway wrote: »

pubs will only be unaffected if nothing else changes (everything from salaries to consumer expectations to technology etc). and its impossible for anyone to predict that i'm afraid.

Alocohol served in pubs in done so in (what's seen as) a regulated environment. People (generally) drink in social groups and there is a responsibility on the pub owner/workers to ensure that folk don't get too drunk (obviously this doesn't always happen though).

Changes are a coming for Off-Sales (higher taxes, minimum pricing, no savings for buying in bulk etc...), none of these will apply to pubs.

Phonejacker - If you have nothing positive to contribute to the thread do not bother posting. Troll again & your posting privileges may be removed.

tHB