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Minimum alcohol pricing: European judges to make ruling Minimum alcohol pricing 'contrary to EU law'
(about 9 hours later)
The European Court of Justice is set to make a ruling on the Scottish government's case for introducing a minimum unit price for alcohol. A European court has said the Scottish government's case for a minimum unit price for alcohol is contrary to EU law if other tax options exist.
The European Court of Justice ruling instead recommends the introduction of alternative tax measures.
The legislation to bring in a minimum price of 50p per unit was passed by the Scottish Parliament in May 2012.The legislation to bring in a minimum price of 50p per unit was passed by the Scottish Parliament in May 2012.
But a legal challenge was brought by the Scotch Whisky Association (SWA), which argued it breached European law. The Scotch Whisky Association (SWA) and First Minister Nicola Sturgeon have both welcomed the ruling.
Ms Sturgeon tweeted: "ECJ opinion on minimum pricing welcome. We believe it is most effective way of tackling alcohol misuse. National court will now decide."
A legal challenge was brought by the SWA which argued the Scottish government's legislation breached European law.
The European court ruling said: "The Court of Justice considers that the effect of the Scottish legislation is significantly to restrict the market, and this might be avoided by the introduction of a tax measure designed to increase the price of alcohol instead of a measure imposing a minimum price per unit of alcohol.
It added: "The Court states that it is ultimately for the national court to determine whether measures other than that provided for by the Scottish legislation, such as increased taxation on alcoholic drinks, are capable of protecting human life and health as effectively as the current legislation, while being less restrictive of trade in those products within the EU."
David Frost, SWA chief executive, said: "The SWA always said European Union law issues were central to this case, and so it has proved. This settles EU law issues once and for all.
"The court has confirmed that minimum unit pricing is a restriction on trade, and that it is illegal to choose MUP where there are less restrictive ways of achieving the same end.
"The Scottish courts will now reflect on the implications of the ruling and all the evidence, before issuing a final judgement.
"This ruling opens the way to moving the debate on and allowing us to address alcohol misuse with practical measures that actually work. Alcohol-related deaths have fallen by a third over the last decade in Scotland, which suggests we are already on the right path. We remain committed to working closely with the Scottish government and everyone else with an interest."
By BBC Scotland's home affairs correspondent Reevel Alderson
Judges at the Court of Session in Edinburgh had asked their European colleagues to rule on whether the Scottish government's policy, enacted in 2012 was compatible with EU law. Today the court in Luxembourg has ruled it isn't.
Instead it says increasing the tax on alcohol tax could be justified as it would combat alcohol misuse and wouldn't restrict the market.
However, it says it's ultimately up to the court in Edinburgh to determine whether raising tax levels could be as effective as the introduction of minimum unit pricing. The case will now go back to the Court of Session - although it's ultimate decision is likely to be the subject of an appeal to the UK Supreme Court.
The ruling of the court in Luxembourg will be referred back to the Court of Session for a final decision.The ruling of the court in Luxembourg will be referred back to the Court of Session for a final decision.
Whatever the Court of Session decides could then be appealed to the UK Supreme Court in London.Whatever the Court of Session decides could then be appealed to the UK Supreme Court in London.
Holyrood ministers have previously said minimum pricing was vital to address Scotland's "unhealthy relationship with drink".Holyrood ministers have previously said minimum pricing was vital to address Scotland's "unhealthy relationship with drink".
Under the plans, the ­cheapest bottle of wine (9.4 units of alcohol) would be £4.69 and a four-pack of 500ml cans of 4% lager would cost at least £4. Under the plans, the cheapest bottle of wine (9.4 units of alcohol) would be £4.69 and a four-pack of 500ml cans of 4% lager would cost at least £4.
It would mean a 70cl bottle of whisky could not be sold for less than £14.It would mean a 70cl bottle of whisky could not be sold for less than £14.
The legal bid by the SWA, backed by other European wine and spirits producers, was initially rejected by judge Lord Doherty at the Court of Session in Edinburgh in 2013.The legal bid by the SWA, backed by other European wine and spirits producers, was initially rejected by judge Lord Doherty at the Court of Session in Edinburgh in 2013.
However, following an appeal hearing, the case was referred last year to the European court for its opinion.However, following an appeal hearing, the case was referred last year to the European court for its opinion.
Judges heard evidence in May and the final ruling is due on Wednesday morning.
In September, European Court of Justice advocate general Yves Bot said the move risked infringing EU rules on free trade.
In an official opinion, he said it would only be legal if it could be shown no other mechanism could deliver the desired public health benefits.
He stated that "a Member State can choose rules imposing a minimum retail price of alcoholic beverages, which restricts trade within the European Union and distorts competition, rather than increased taxation of those products, only on condition that it shows that the measure chosen presents additional advantages or fewer disadvantages by comparison with the alternative measure".
First Minister Nicola Sturgeon responded at the time by saying: "We welcome this opinion, in which the advocate general confirms that minimum unit pricing is not precluded by EU law, but sets out tests that the national court has to apply.
"Importantly, this initial opinion indicates it will be for the domestic courts to take a final decision on minimum unit pricing.
"The advocate general finds that the policy can be implemented if it is shown to be the most effective public health measure available.
"As such, the legal process is ongoing and we await a final response from the European Court of Justice, before the case returns to the Scottish courts."