Trade demands action on supermarkets

The Government must re-balance the tax and regulatory system to create a level playing field between the pub sector and supermarkets if it is serious about tackling alcohol misuse and anti-social behaviour.

That is the key message from seven organisations representing pubs, restaurants hotels, bars and nightclubs in a joint submission to the Home Office and delivered in a speech by British Beer and Pub Association chief executive Brigid Simmonds to the Westminster Food & Nutrition Forum.

A total of 70% of all alcohol sales now take place in supermarkets — up from 53% ten years ago — with the upshot being that alcohol is now increasingly drunk in an unsupervised environment.

The seven organisations are calling for:

• A ban on below-cost selling — which should reflect the real cost to the retailer, not just be a ban on below tax sales

• A level playing field in the regulations covering alcohol sales in leisure and hospitality businesses and shops and supermarkets - either through a voluntary code, as in Ireland, or through mandatory conditions on the sale and promotion of alcohol

• A review of the Licensing Act to ensure powers to revoke and refuse licenses are used effectively

• An examination of the benefits of a different VAT rate for leisure businesses and supermarkets to boost business and jobs

• A rebalancing of the alcohol tax system to encourage the choice of lower strength drinks like beer

• Greater levels of individual accountability for anti-social behaviour

• Better incentives for positive choices by business and individuals to improve trading practices, local involvement and individual behaviour

"The Government is right to be reviewing the rules and regulations surrounding the way we sell and drink alcohol and the benefits and costs to society and our communities," said Simmonds.

"Fundamental to that review has to be the recognition that 70 per cent of alcohol is now sold through supermarkets. This change is driving trends like pre-loading and drinking outside of the social controls of well managed leisure places like pubs.

"We need to rebalance our system to ensure everyone who sells alcohol is equally responsible and that greater emphasis is placed on the accountability of individuals for the choices they make about their drinking behaviours.

"We also welcome the Government's review of alcohol taxation. The existing tax regime unfairly punishes pubs and responsible drinking. A new tax system that recognises beer as a low-strength, British-produced drink — and the mainstay of Britain's pubs — would be a major step forward."

Re-regulation​

Nick Bish, chief executive of the Association of Licenced Multiple Retailers, said: "The net effect of recent legislation has been to incentivise consumption at home and other unregulated places.

"If the problem is alcohol misuse then a big part of the solution is the re-regulation of the off-trade and supermarkets and then support for pubs and bars who really do understand about responsible alcohol retailing."

Paul Smith, executive director of Noctis added: "At Noctis we welcome the opportunity to show the new Coalition that, as an industry we can work collaboratively to come up with effective proposals to tackle the thorny issues which adversely affect our sector.

"Of particular interest for the Noctis membership is the late night levy for additional policing.

"We believe wholeheartedly that a more holistic approach needs to be employed on this issue and are pleased to have reached agreement with the other trade bodies on this and many other key issues."