Home > Dail Eireann debate. Written answer 493 - VAT rates [Alcohol] [33281/12]

[Oireachtas] Dail Eireann debate. Written answer 493 - VAT rates [Alcohol] [33281/12]. (10 Jul 2012)

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493 Deputy Mary Mitchell O’Connor asked the Minister for Health his views on whether it would be more appropriate to have a higher rate of VAT on soft drinks and alcohol than on nutritional drinks such as juices and smoothies which all currently have a VAT rate of 23%; and if he will make a statement on the matter. [33281/12]

Minister for Health (Deputy James Reilly): The Special Action Group on Obesity is currently carrying out a Health Impact Assessment (HIA) on the health and economic aspects of introducing a levy on sugar-sweetened drinks and the Institute of Public Health will be facilitating my Department with this assessment. 

The Steering Group aims to have the Health Impact Assessment Report available in October to be presented to me. At that point, myself and my officials will consider the HIA results and use them as part of the decision making process regarding any possible introduction of a levy on sugar-sweetened drinks.
 
In its report on alcohol, the National Substance Misuse Strategy Steering Group recommended - among other things - the introduction of a legislative basis for minimum pricing per gram of alcohol. As minimum pricing is a mechanism of imposing a statutory floor in price levels for alcohol products that must be legally observed by retailers, its primary function would be thus to discourage at risk levels of alcohol consumption. This recommendation is being actively considered as part of the development of an Action Plan in advance of proposals being drafted for Government.
 
Dáil Éireann Debate Vol. 771 No. 5
Tuesday, 10 July 2012

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