Comment
Last week the Prime Minister David Cameron told MPs that he was determined to “deal with” the “problem of deeply discounted alcohol in supermarkets and other stores” and said that the Government was considering the results of a consultation into a proposed minimum unit price for alcohol. In this observation, IFS researchers consider the merits of such a policy and argue that taxing alcoholic drinks on the basis of their alcohol content, with higher tax rates on stronger than weaker drinks, would be more effective at targeting those drinking above recommended levels than would a minimum alcohol price.
