This report examines the available evidence on the nature and extent of alcohol advertising and sponsorship in Australia, and the impact of exposure to alcohol advertising and sponsorship on children and young people’s drinking attitudes and behaviour. There are over 40 peer reviewed empirical studies (longitudinal and cross-sectional) in this area involving approximately 100,000 children, from Australia, New Zealand, Europe, the United States, and the United Kingdom. The studies are consistent in showing that exposure of children and young people to alcohol advertising and sponsorship is associated with earlier age of initiation of alcohol use in previously non-drinkers, and more hazardous drinking in children and young people who are already drinking.