Businesses in Highlands fear proposals for new limits on alcohol adverts
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A ban on alcohol advertising could be disastrous for drinks producers, hospitality venues and the wider community according to a cross section of the trade across the Highlands.
A number of drinks producers including Diageo and Whyte & Mackay have signed an open letter to the Scottish Government asking them to drop proposals which are currently being consulted on.
Pubs, restaurants and off-licences are among premises that could be affected and there could also be and end to drinks companies’ sponsoring sport and live events.
Ministers are also said to be considering a ban on outdoor of alcohol, including on vehicles, advertising and forbidding adverts in newspapers and magazines.
Don Lawson, owner of Johnny Foxes in Inverness and chairman of the Inverness Pubwatch scheme was stark in his assessment.
“Put simply this will put many hospitality venues, smaller brewers and whisky and gin distilleries out of business,” he said. “It could not have come at a worse time for our sector, and the many thousands we employ, with the drinks industry having suffered hard through the Covid years, while the cost-of-living crisis and energy costs threatens the very existence of some of us.
“Since there are already strict rules around advertising, perhaps more enforcement of existing legislation is the answer.
“A further consequence of these proposals would be the blocking of a key source of vital funds to Scotland’s sports and arts and culture sectors, at a time when they can least afford this.
“The Scottish Government need to tackle the social issues that contribute to alcohol abuse – like poverty, cultural drinking, social housing issues, unemployment.
“I feel that alcohol education is what the strategy should be here, yet they are hell bent on going down a pathway where there will be businesses that they’ll be responsible for going to the wall.”
Sam Faircliff, managing director of the Aviemore-based Cairngorm Brewery, also has concerns.
She said: “In rural communities sponsorship of teams is vital to ensure their viability and pays for kit that does not put the onus on parents who might not be able to afford to buy their children the sports gear and may lead to less fortunate children not being part of the team for this reason.
“Loch Ness Brewery is one of the sponsors of the Highland Rugby Club and under these proposals we would no longer be in a position to do that.
“The reason for the sponsorship is so that we can advertise our brand on the first team shirts, have an advertisement in the match programmes and have a banner on the side of the pitch when matches are being played.
“Emerging brands and new products need to get their name out there and this proposal could mean that these small businesses just close.
“We would no longer be able to sell merchandise like T-shirts and hats in our shop or donate them as raffle prizes to local groups for adults or children.
“I personally feel that this will not solve the challenge of problem drinking in Scotland – all it will mean is that someone will go into a shop and say ‘please can I have the cheapest bottle of vodka’ rather than asking for a brand named vodka if they are a problem drinker.
“More support is needed for problem drinkers which should not be restricting trade at home and abroad for tourists and visitors.
“On top of Brexit, followed by Covid, now the cost of living crisis with all our raw materials, packaging materials and the dreaded utilities costs increasing significantly, it will be very difficult for businesses in the Highlands to survive. “
“We also have higher transportation costs in the Highlands on top of everything else.”
She added: “11,500 jobs in Scotland are in the drinks industry, 8500 of which are in distilling alone.
“This does not include secondary functions of distribution, wholesaling, retailing, hospitality etc.
“A significant percentage of these jobs are in Highland rural communities that will be seriously affected.
Speaking for Diageo – which owns Dalwhinnie Distillery as well as Clynelish and Glen Ord Distilleries in Brora and Muir of Ord respectively – a spokesperson said: “Our £185 million investment in Scotch whisky tourism has created new jobs, added economic benefit and helps promote Scotland to the world.
“These extreme proposals do nothing to address alcohol harm, they simply undermine efforts to attract tourism and investment.
“We want to work constructively with the Scottish Government to find effective ways of tackling alcohol misuse that don’t undermine the unique economic, cultural and community contribution our industry makes to Scotland.”
Highlands Scottish Conservative MSP Edward Mountain said: “The whisky tourism sector alone brings in £84 million annually to the Scottish economy, a large proportion of which supports jobs and rural communities across the Highlands.
“It’s no wonder that local alcohol producers have contacted me to share their concerns about the direction the Scottish ministers are considering.
“I am pressing the Scottish Government to go back to the drawing board and revise their proposals.”
The subject was raised at First Minister’s Questions last week where Nicola Sturgeon agreed with Conservative Mid Scotland and Fife MSP Murdo Fraser when he asked whether it would be “absurd” if distilleries had to “cover up all their signage, close their shops and stop promoting tours”.
She said: “The point of the consultation is to get a range of views on the most appropriate next steps in reducing alcohol-related harm, which I hope we can all recognise is one of the most pressing public health challenges that we face.”
She said that Ireland had passed legislation five years ago focussing on reducing children’s exposure to alcohol promotion, which she thought was “key”.
And she added: “In relation to the suggestion that we have heard in recent weeks that painted signs on distilleries or visitor centres would be the target, I make it very clear that those are not in our current thinking.
“There is a world of difference between a billboard outside or in the vicinity of a school and, for example, a Johnnie Walker baseball cap.”
The consultation is due to run until March 9.
