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'Below cost' alcohol to be banned

  • Published: Tuesday, 18 January 2011

Retailers will be banned from selling alcohol below the rate of duty plus VAT, under new plans announced today. The plans will effectively introduce a minimum price for alcohol, helping to crack down on cheap alcohol which is blamed for a great deal of crime.

Alcohol pricing plans

Alcohol and crime

Find out what you can do about alcohol-related crime in your area

The rate of duty on a standard 440ml can of 4.2 per cent lager is 33p. Combined with VAT of 5p, the total of duty plus VAT comes to 38p.

So, under the new plans, a can of lager could not be sold for less than 38p.

Minumum prices for other alcoholic drinks will include:

  • 1 litre of vodka - £10.71
  • 1 litre of cider - 40p
  • 700ml of whiskey - £8.00
  • 750ml bottle of wine - £2.03

Options for how the ban will work are currently being considered.

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