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05 Sep 2007
Booze deal ban will hurt retailers, argues SGFScottish retailers have blasted new Government plans to ban bargain booze deals, claiming it will threaten the existence of hundreds of community stores across the country. The new plans announced today (Wednesday) - are part of a package of measures being announced by the Scottish government intended to make it more difficult for consumers to buy and consume alcohol. They will place restrictions on the way retailers can promote alcohol, preventing them from offering promotional deals such as 3 for 2 for multi-buy discounts. John Drummond, chief executive of the Scottish Grocers Federation, branded the measures irresponsible and claimed they would create a whole range of unforeseen consequences for retailers. Under these plans supermarkets will be forced to make money be encouraging shoppers to buy more by cutting prices even further below cost, he said. Forcing retailer to compete only on price will squeeze margins and encourage loss leading. Far from solving anything, banning promotions will lead to cheaper booze, more trouble and more disease. The Scottish Retail Consortium and Wine & Spirit Trade Association also criticised the plans and claimed they were not evidence based. SRC director Fiona Moriarty said: There is no evidence to suggest that off trade promotions increase alcohol misuse. What this decision will do is throw up an expensive practical snare for a lot of small retailers who, in a number of cases, will find compliance extremely difficult.
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