Minimum Unit Pricing arrives in Scotland

MUP has been a long time coming. And it probably means paying more for some of your alcoholic drinks.

Tuesday 1 May 2018 sees the implementation of Minimum Unit Pricing (MUP) on alcohol that is a key part of the Scottish Government’s alcohol strategy. Given the policy was approved in November 2017, it encountered substantial legal challenges finally resolved by the Supreme Court case of Scotch Whisky Association and others v The Lord Advocate and another [2017] UKSC 76. That upheld the policy’s legality.

The Alcohol (Minimum Price per Unit) (Scotland) Order 2018 has set the MUP at 50p. The Health Secretary, Shona Robison MSP indicated that this is the ‘right rate’.  (Should the rate require to be changed, a consultation and regulations will be required.)   

MUP sets a price below which alcohol in licensed premises cannot be sold. That price is calculated according to a formula as set out in section 1 of the Alcohol (Minimum Pricing) (Scotland) Act 2012::

• MPU (50p) x S (strength of alcohol)  x V (Volume of Alcohol  in litres) x 100

Guidance on the Implementation of Minimum Pricing for Alcohol is now published addressed to the Scottish sellers of alcohol and enforcement authorities. What this means is:

• A 700ml bottle of spirits with an ABV of 37.5% has a minimum price of £13.13 - £0.50 x 37.5 x 0.7
• A 500ml super strength can of beer at 9% ABV has a minimum price of £2.25 - £0.50 x 9 x 0.5
• A 750ml bottle of wine with an ABV of 12.5% has a minimum price of £4.69- £0.50 x 12.5 x 0.75

There is no period of grace. All businesses and others selling alcohol need to ensure that all their pricing systems are accurate from day one.  Selling alcohol at below the minimum price will amount to a breach of licence conditions which could lead to criminal prosecution and/or a Premises Licence Review. 

MUP only applies to sales of alcohol despatched in Scotland. Online or telephone sales outwith Scotland are unaffected.

The Scottish Government will monitor the effects of this innovative policy aimed at addressing Scotland’s significant alcohol problem. The legislation includes a five-year ‘sunset clause’ to review and ascertain what the effects primarily the public health has been.