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SGF Responds to 50p Minimum Unit Price

Health Secretary, Nicola Sturgeon, announced today that the preferred minimum price for alcohol will be 50p per unit.  Commenting on the announcement SGF Chief Executive, John Drummond, said: 

“Today’s announcement does nothing to change our mind about the impact of this regressive and disproportionate measure which will punish low income and moderate drinkers and do little to change the harmful drinking habits of those who already buy products well above the minimum unit price. 

“Minimum pricing will drive up illicit, cross-border and internet sales to the detriment of indigenous Scottish retailers, whilst any profit arising from increased prices would be more than offset by falling sales. 

“If all of this wasn’t bad enough, the legality of the measure remains uncertain. 

“The fact is, and as experience tells us, this sort of blunt intervention inevitably punishes the retailer, juvenilises the consumer and rarely places any responsibility on the individual.”

SGF welcomes 'sunset clause' as MUP Bill passes stage 2

Following an amendment to the Alcohol (Minimum Pricing) (Scotland) Bill which will now mean that the minimum pricing provisions will expire at the end of a 6 year period unless an order is made by Scottish Ministers at the end of a 5 year period SGF Chief Executive, John Drummond, said: 

“Whilst we continue to oppose minimum pricing we are cognisant that the parliamentary arithmetic means it will become law. 

“That is why SGF lobbied for the inclusion of a sunset clause, so that the policy would be rigorously evaluated and terminated if proven to be unsuccessful. 

“We are pleased that the poorly considered amendment designed to raid the pockets of retailers was firmly rejected by the Health Committee. 

“All of the parties must now get round the table to ensure that the evaluation of minimum pricing is as robust and thorough as it can be.” 

UK Consultation on Tobacco Plain Packaging

Commenting on HM Government’s confirmation today that a consultation on the plain packaging of tobacco products is likely to be launched next week SGF Chief Executive, John Drummond, said: 

“Given that both London and Edinburgh have passed legislation which bans the display of tobacco products in our stores, and at significant cost to the retailer, a proposal for plain packaging is an absurd example of over regulation.

“The fact is, there was no robust evidence base for the tobacco display ban yet it is the same flimsy arguments which are being propagated to justify a ban on plain packaging.

“This proposal does more to grandstand for the benefit of the health lobby than actually reduce the prevalence of smoking all the while increasing the operational time and costs to retailers. 

“Plain packing is also a smugglers charter which will drive smokers out of highly regulated and legitimate retail premises and into the arms of the illicit trade which will not only hit our pockets but that of the exchequer too.” 

UK Government launches National Loan Guarantee Scheme

The National Loan Guarantee Scheme (NLGS) was launched on 20 March 2012 and will help businesses access cheaper finance by reducing the cost of bank loans under the scheme by 1 percentage point.  

In order to benefit from this scheme, businesses with a turnover of not more than £50 million should apply for loans at a participating bank.  

Participating banks include Barclays, Bank of Scotland, Lloyds TSB, NatWest, RBS and Santander.  Aldermore has also agree, in principle, to join the scheme.  

Members can access more information about the scheme, including how to apply and the loan products available, by clicking here.

Scottish Government: "No plans to raise licensing fee"

The Scottish Grocers’ Federation has welcomed assurances from the Cabinet Secretary for Health, Nicola Sturgeon, that there will be no increase in licensing fees to fund the enforcement of minimum unit pricing. 

SGF wrote to the Cabinet Secretary after the Financial Statement accompanying the Alcohol (Minimum Pricing) Scotland Bill stated that there could be a review of fee income if the Bill increased the workload of LSOs.  A number of local authorities also raised their concerns with the Finance Committee about how they would meet any additional costs arising from the Bill. 

Commenting on the letter from the Cabinet Secretary SGF Chief Executive, John Drummond, said: 

“This is a welcome response from Nicola Sturgeon.  The 2005 Licensing Act has cost the convenience sector an additional £22m over the last three years with a recently completed review of licensing showing that around 41% of local authorities were profiteering from licensing fees despite a statutory obligation not to do this. 

“A further increase resulting from the minimum pricing legislation would be intolerable, especially given our opposition to the proposed Bill.  We welcome the cabinet Secretary’s assurance that the Scottish Government has no plans to raise licence fees.”



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