In 2012 the Scottish Government passed legislation to introduce a Minimum Unit Price (MUP) to tackle the problems caused by cheap alcohol. The Scotch Whisky Association (SWA) and other European wine and spirits producers took action against the proposal claiming that it breaches the UK’s European Union (EU) treaty obligations. Since there is a growing body of evidence which shows that price increases can have a substantial impact on reducing consumption, and consequently on alcohol-related harm, EPHA President Peggy Maguire has written an open letter to the attention of Ministers responsible for trade and finance in Europe to asking their support for the Scottish MUP.
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EPHA Open letter] [Asking for support for the Scottish Minimum Unit Pricing (MUP)
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Brussels, 1st October 2014
Dear Mme / Mr Minister,
I am writing you on behalf of the European Public Health Alliance (EPHA), which is the European Platform bringing together public health organisations representing health professionals, patients groups, health promotion and disease specific NGOs, academic groupings and other health associations. Our Public Health colleagues in Scotland have asked us urgently to draw your attention to the current legal battle taking place at European level where global alcohol interests are blocking the Scottish government’s attempts to introduce Minimum Unit Pricing (MUP) for Alcohol in Scotland.
The cost of alcohol-related harm to the EU’s economy has been estimated at €125 billion for 2003, equivalent to 1.3% of GDP. Alcohol is causally related to over 60 different medical conditions and it is estimated by independent academics that the Scottish policy would save 60 lives in its first year, rising to 300 lives per year after 10 years. The actual spending on alcohol-related problems in the EU is estimated at about €66 billion, spread across areas. Specific examples of indirect harms include:
- Lost economic productivity for employers through staff absenteeism;
- Costs to institutions through poor health or criminality in their workforce;
- Unemployment or low employability of users and the impact on their families and related costs;
- Crime, in particular violent crime; [[Sivarajasingam V, Matthews K, Shepherd J. Price of beer and violence-related injury in England and Wales. Injury. 2006;37(5):388-94.]] [[Boreham R, Cronberg A, Dollin L, and Pudney S (2007) The Arrestee Survey 2003-2006. Home Office Statistical Bulletin. London: Home Office RDS Directorate]]
- The association between alcohol consumption and domestic violence; [[Humphreys C, Regan L, River D and Thiara RK (2005a) ‘Domestic Violence and Substance Abuse: Tackling Complexity’, British Journal of Social Work 35(8):1303-1320]] [[Moore TM and Stuart GL (2004) ‘Illicit substance use and intimate partner violence among men in batterers’ intervention’, Psychology of Addictive Behaviours 18(4):385-9 ]] [[Chermack ST and Blow FC (2002) ‘Violence among individuals in substance abuse treatment: the role of alcohol and cocaine consumption; Drug and Alcohol Dependence 66:29-37 ]]
- Risky sexual activity, potentially impacting on an individual and their partners’ sexual health, sometimes resulting in sexually transmitted diseases, [[Teenage Sex, Drugs and Alcohol Use: Problems Identifying the Cause of Risky Behaviours20 (with Robert Kaestner). Journal of Health Economics, 23(3): 493-503, May 2004 ]] and
- unplanned pregnancy. [[Murgraff, V., Parrott, A.C., Bennett, P. (1998) Risky single occasion drinking amongst young people: definition, correlates, policy and intervention, A broad overview of research findings. Alcohol and Alcoholism, 33, 1-12.]]
Of all alcohol policy measures, the evidence is strongest for the impact of alcohol prices on alcohol consumption and alcohol-related harm. [[WHO Europe, Handbook for Action to Reduce Alcohol-related Harm, 2009]] The Scottish legislation sets a Minimum Unit Price (MUP) based on the unit content of the product and, therefore, applies to all products equally, and also does not discriminate between domestic or imported products. Products already on the market in Scotland will need to comply with MUP, but the legislation does not require the producer to change the characteristics of those products, but nor does it prevent such change if the producer prefers. Real-world evidence and economic modelling indicates that MUP would be effective in reducing hazardous and harmful alcohol consumption. [[Tim Stockwell, PhD, Jinhui Zhao, PhD, Norman Giesbrecht, PhD, Scott Macdonald, PhD, Gerald Thomas, PhD, and Ashley Wettlaufer, MPH Published online October 18, 2012 | American Journal of Public [[Health]]
In terms of reducing health inequalities, a minimum pricing scheme could help to reduce the burden of disease and alcohol-related harm for people in low-income households The effects of MUP would be different for different subgroups of the population with smaller effects on moderate drinkers, particularly those with low incomes. It would not affect all alcoholic drinks (most on-licence sales would be unaffected), but would increase the price of those alcoholic beverages that are currently relatively under-priced or discounted. Drinks like own brand vodka or gin, strong white cider and super strength lager will be affected. It will not affect pubs, clubs and restaurants.
There should be minimal impact on innovation for both existing products and the introduction of new products into the market. There may even be an incentive for the market to innovate, with one possible effect of Minimum Unit Pricing being the production of lower strength alcoholic products. These could be sold at a relatively lower price, because they contain fewer units of alcohol. This would be consistent with the aim of drinkers consuming less alcohol, whilst leaving the market free to determine the characteristics of products. New or existing high-strength products would have to be sold at or above the Minimum Unit Price, but this would not prevent them from being introduced or their sales continuing.
The current call is specifically to support the Scottish case. Scotland is not proposing that other countries need adopt this policy: the Scottish MUP is a Scottish answer to a Scottish problem and in line with the principle of subsidiarity enshrined in the EU Treaties, it will remain in the Member States’ competence to decide on their own policy approach on alcohol related harm.
There is a growing body of evidence which shows that price increases can have a substantial impact on reducing consumption, and consequently on alcohol-related harm, and I count on your support for this vitally important Public Health issue in Scotland.
Yours sincerely,
Peggy Maguire
EPHA President
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