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Booze hike 'won't stop bingeing' Booze hike 'won't stop bingeing'
(10 minutes later)
Public health chiefs have welcomed the tax rises on alcohol, but said there is still a way to go before it starts influencing drinking habits.Public health chiefs have welcomed the tax rises on alcohol, but said there is still a way to go before it starts influencing drinking habits.
Chancellor Alistair Darling announced excise duty on beer, wine and spirits would rise by 6% above inflation - the biggest monetary rise since the 1970s.Chancellor Alistair Darling announced excise duty on beer, wine and spirits would rise by 6% above inflation - the biggest monetary rise since the 1970s.
It comes after the levy has struggled to keep pace with inflation since Labour came to power.It comes after the levy has struggled to keep pace with inflation since Labour came to power.
But experts said it was still not enough to make a "real difference".But experts said it was still not enough to make a "real difference".
However, the Budget does mark a stark change in policy towards the taxing of alcohol.However, the Budget does mark a stark change in policy towards the taxing of alcohol.
ALCOHOL TAX RISES Beer - up 4p a pintCider - up 3p a pintWine - up 14p a bottleSpirits - up 55p a bottleALCOHOL TAX RISES Beer - up 4p a pintCider - up 3p a pintWine - up 14p a bottleSpirits - up 55p a bottle
The price of alcohol has barely changed since the mid 1990s, meaning when inflation is taken into account it has fallen in real terms.The price of alcohol has barely changed since the mid 1990s, meaning when inflation is taken into account it has fallen in real terms.
Price promotions by retailers obviously play a part, but then so does the trend in excise duty hikes.Price promotions by retailers obviously play a part, but then so does the trend in excise duty hikes.
Increases in recent years have been minimal. Duty on beer and wine has only broadly kept pace with inflation.Increases in recent years have been minimal. Duty on beer and wine has only broadly kept pace with inflation.
Some £1.33 is currently levied on a bottle wine - compared to £1.12 in 1998.Some £1.33 is currently levied on a bottle wine - compared to £1.12 in 1998.
Meanwhile, the duty on spirits had been frozen since 1997.Meanwhile, the duty on spirits had been frozen since 1997.
Mr Darling said: "As incomes have risen, alcohol has become more affordable. In 1997, if you went into a supermarket the average bottle of wine was £4.45 in today's prices, today it is £4."
So within that context, the rises announced are significant. Beer is up 4p a pint from Sunday, cider 3p, wine 14p a bottle and spirits 55p a bottle.So within that context, the rises announced are significant. Beer is up 4p a pint from Sunday, cider 3p, wine 14p a bottle and spirits 55p a bottle.
It represents a rise of 6% above inflation and over the next four years, the Chancellor said duty would continue to go up by 2% above inflation.It represents a rise of 6% above inflation and over the next four years, the Chancellor said duty would continue to go up by 2% above inflation.
PressurePressure
It comes at a time when more and more pressure is being placed on the government to use the lever of price to tackle binge-drinking Britain.It comes at a time when more and more pressure is being placed on the government to use the lever of price to tackle binge-drinking Britain.
The British Medical Association recently urged the government to raise taxes to help tackle the increasing levels of alcohol abuse.The British Medical Association recently urged the government to raise taxes to help tackle the increasing levels of alcohol abuse.
Alcohol consumption has been rising steadily for the past 15 years, with figures suggesting a third of men and a fifth of women drink more than the recommended levels each week.Alcohol consumption has been rising steadily for the past 15 years, with figures suggesting a third of men and a fifth of women drink more than the recommended levels each week.
And alcohol-related deaths have more than doubled since 1991 to over 8,700 a year.And alcohol-related deaths have more than doubled since 1991 to over 8,700 a year.
READ THE BUDGET IN FULL Budget 2008 [4.06MB]Most computers will open this document automatically, but you may need Adobe Reader Download the reader here READ THE BUDGET IN FULL Budget 2008 [4.06MB]Most computers will open this document automatically, but you may need Adobe Reader Download the reader here
The BMA said a 10% rise in price could cut deaths by up to 30%.The BMA said a 10% rise in price could cut deaths by up to 30%.
Professor Alan Maryon-Davis, of the Faculty of Public Health, said: "It's a good start, but still short of what's needed to make a real dent in binge drinking.Professor Alan Maryon-Davis, of the Faculty of Public Health, said: "It's a good start, but still short of what's needed to make a real dent in binge drinking.
"Current prices are so low that young people can binge for less than the cost of a burger and chips."Current prices are so low that young people can binge for less than the cost of a burger and chips.
"The Chancellor's tax hike will help to deter some of them some of the time, but needs to go much further to make a real difference.""The Chancellor's tax hike will help to deter some of them some of the time, but needs to go much further to make a real difference."
Dr Vivienne Nathanson, the BMA's head of science and ethics, said: "These tax increases may be unpopular with some members of the public but we hope that they will look at the wider issue and recognise that the UK has a real problem on its hands regarding alcohol misuse.Dr Vivienne Nathanson, the BMA's head of science and ethics, said: "These tax increases may be unpopular with some members of the public but we hope that they will look at the wider issue and recognise that the UK has a real problem on its hands regarding alcohol misuse.
"Tough action is needed.""Tough action is needed."
But she also said tax rises were just one part of the solution with better access to treatment needed as well.But she also said tax rises were just one part of the solution with better access to treatment needed as well.
Meanwhile, duty on tobacco is set to rise again, adding 11p to the price of a packet of 20 cigarettes and 4p to five cigars.Meanwhile, duty on tobacco is set to rise again, adding 11p to the price of a packet of 20 cigarettes and 4p to five cigars.