Banning the sale of alcohol below tax rates would be better than banning below-cost selling, Morrisons has said.

Prohibiting sales below the rates of excise duty and VAT would be a more workable alternative, the UK’s fourth-largest retailer believes.

It says the plan could be adopted as part of the Police Reform and Social Responsibility Bill, with the threat of a £25,000 fine for those flouting the new law.

Richard Taylor, director of corporate affairs at Morrisons, set out the proposal in a letter to Home Secretary Theresa May.

He argued it would avoid government having to intervene in the market to provide a definition of ‘below cost’ selling.

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Written by Richard Woodard

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Richard Woodard
Richard Woodard
Decanter Magazine, Wine & Spirits Writer

Richard Woodard is a freelance wine and spirits writer based in the UK. Aside from Decanter, he writes for several wine trade and media outlets including Imbibe, The Drinks Business, Harpers and Drinks International.

Since 2015 he has been the magazine editor of Scotchwhisky.com. He has formerly worked as a wine news reporter at Imbibe and a feature writer for Halycon Magazine.