HIGHER ALCOHOL TAXES WELCOME HELP AGAINST CHEAP DRINKS

Alcohol Concern's Response to the 2008 Budget

Responding to the news that the 2008 Budget includes inflation-busting tax increases on beer, spirits and cider, Don Shenker, Acting Chief Executive of Alcohol Concern said:

"The government's tax plan to finally address the issue of alcohol becoming more affordable with every passing year is welcome, and overdue. There is broad international agreement that price has a crucial part to play in substantially reducing harmful drinking. However for moderate tax hikes to work government must also force the big retailers to stop discounting drinks so deeply so that any rate increases can actually passed onto consumers. We call on ministers to use their considerable powers to achieve this. Over the past twenty years, as drinks have become cheaper, consumption has skyrocketed. Urgent action has been long overdue to reverse the tide.We also note that the modest tax increase announced today is expected to provide the Exchequer with an additional �£600 million pounds this year, further underlining the immense value of the drinks market. With a small fraction of its total alcohol revenues government could radically transform the systems in place to support dependent drinkers"

ENDS

For press enquiries please contact Frank Soodeen at the Alcohol Concern Press Office on 0207 264 0514 or 07866063013, or email franks@alcoholconcern.org.uk

Notes to editors

While UK excise duties are relatively high in a European context, they have declined in real terms. Duties on spirits have not increased since 1997, and while those on beer and wine have been adjusted for inflation, they have not kept up with the growth in disposable income. This means that alcohol is now 65% more affordable than it was in 1980.

A range of studies have found that increasing the price of alcohol can reduce road accidents and fatalities, workplace injuries; deaths from cirrhosis if the liver and various kinds of violent crime.

Raising alcohol taxes also has the added advantage, unlike tobacco taxes, of potentially being a progressive tax. Successive survey data those from professional or "middle class" homes are far more likely to buy alcohol regularly, and to drink above the recommended levels.

Alcohol Concern is the national agency working to reduce alcohol related harm in society. We work to reduce the incidence and costs of alcohol-related harm and to increase the range and quality of alcohol services available to problem drinkers and their families.

Copies of Alcohol Concern's 2008 Budget submission are available on the Alcohol Concern website.

Date: 12 March 2008