1. Home
2. News

MUP: alcohol sales rise near Scottish border

The Foresight Economics study, conducted on behalf of NHS Scotland, discovered that one retailer had reported a 40% rise in sales, while a second saw a 25% increase between May and July last year.

Scotland became the first country in the world to introduce minimum pricing of 50p per unit of alcohol on 1 May 2018.

The report acknowledged that both the heatwave and the football World Cup could have driven increased purchases, but added that sales were above average for the year.

It recommended a wider, second phase of study that would present evidence on longer-term impacts.

Other findings in the report suggested that MUP had resulted in a ‘modest’ economic impact on the drinks industry in the country.

Decreased volumes had been offset by increased prices leading to little overall impact on retailer revenue, it said.

Consumer behaviour had changed with shoppers switching to products sold in smaller packs or bottles, low-alcohol drinks or existing premium brands.

The analysis suggested the impact on producer revenues and profits were “negative but small”.

“No retailers or producers reported closing stores or production facilities, reducing staff numbers or reducing investment as a result of MUP,” said Andrew Leicester, manager at Frontier Economics. “The research has so far found no evidence of MUP having a significant impact on the profitability, turnover or employment of Scottish retailers located near the border.”

Neil Craig, head of evaluation at NHS Health Scotland, said: “NHS Health Scotland are leading a robust and comprehensive evaluation of Minimum Unit Pricing, which will provide a full understanding of what difference the legislation is making and to whom. “That of course includes the impact MUP could make to levels of alcohol-related health and social harm, but also requires us to assess the effect on the alcoholic drinks industry in Scotland. We welcome the involvement of a cross-section of retailers and producers in this initial stage of the economic impact study and look forward to the next phase reporting in 2022”.

Last week a study published in the British Medical journal found that MUP in Scotland had reduced alcohol consumption in some households.

It reported a drop in weekly intake of 9.5g or 1.2 units per adult per household, which equated to 7.6%, while alcohol purchases in heavy-drinking households were down by 15g of alcohol per week including the eight months after the policy’s implementation.

https://harpers.co.uk/news/fullstory.php/aid/25958/Scottish_MUP_policy_curbs_drinking,_study_shows.html