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Scottish minimum unit pricing for alcohol hangs in balance against EU free trade laws

Published:  23 December, 2015

The European Court of Justice has ruled that the Scottish Government's case for minimum unit pricing [MUP] for alcohol could be in breach of free trade laws if tax-based measures could deliver a fairer and equally effective result with regard to protecting public health.

The European Court of Justice has ruled that the Scottish Government's case for minimum unit pricing [MUP] for alcohol could be in breach of free trade laws if tax-based measures could deliver a fairer and equally effective result with regard to protecting public health.  

The ruling is the latest turn in a long running case brought by the Scotch Whisky Association (SWA), which has argued that legislation to bring in minimum pricing passed by the Scottish parliament in 2012 - a flagship policy of First Minister Nicola Sturgeon - is overly restrictive on trade.  

The SWA has sought alternative routes that potentially include using tax measures to increase prices across all alcohol, to ensure a level playing field, while using this and other strategies, including education, to continue to drive a downward trend in alcohol abuse and drink-related health issues in Scotland.  

"The court has confirmed that minimum unit pricing is a restriction on trade, and that it is illegal to choose MUP where there are less restrictive ways of achieving the same end," announced David Frost, SWA chief executive.  

However, with both the SNP and SWA claiming victory, the Court also stated that the national court must make the final judgment as to whether alternative measures to the Scottish legislation, such as universally increased taxation, will be a more effective method of protecting human health and life.  

Sturgeon has responded on Twitter that this ruling simply "sets out tests national court needs to apply", tests she believes that the Scottish Government's legislation will pass.

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