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05 Sep 2007

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Booze deal ban will hurt retailers, argues SGF

Scottish 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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Arjan Mehr 10 Sep 2007 11:43:10
The governments obsession with using legislation to solve antisocial behaviour by way of making it more difficult to buy alcohol is not going to resolve anything. Alcohol today is cheaper than milk and water.The breweries and supermarlets between them have taken value out of the category.Breweries and supermarkets should be warned about below cost selling and other marketing tools. To somehow target small retailers and hold them solely resposible for the alcohol abuse is pure nonsence.If a section of our society is culturaly bankrupt and cannot behave in the proper manner than the solution lies elsewhere. I am not absolving myself from resposibity like other good retailers but they (the government) need to think very hard on this one.
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