Ban on below-cost alcohol sales postponed

A Government plan to ban below-cost alcohol sales has been postponed, with the Government revealing in its business plan for 2011-2015 that it would introduce legislation to change alcohol pricing only “if necessary”.

The original plan was to review the Licensing Act 2003 through the Police Reform and Social Responsibility Bill set to be implemented next year. Proposals are being developed to reinforce local authority and police powers to allow them to either remove licenses from, or refuse to grant them to, premises that cause problems, along with other proposals regarding the sale of alcohol to children.

However, the Government refrained from using this bill to ban the below-cost sale of alcohol, as previously mentioned. Instead, it mentions that it plans to look into ways to tackle binge-drinking - together with other government departments - by April next year (although this could still include options to ban the below-cost sale of alcohol).

Any legislation pertaining to these plans would not come into force before May 2012, which provides a welcome reprieve to accommodation providers who are in the habit of, say, offering a bottle of wine or champagne to their guests upon arrival, or other similar practices.