asked the Minister for Industry and Commerce if, in view of the increase in the price of drink which was imposed by the Government's recent budget, he will make a full statement on his attitude to the fresh proposals by the licensed vintners to further increase the price of drink.
Ceisteanna — Questions. Oral Answers. - Drink Prices.
58.
I am considering proposals by vintners to increase drink prices, but I have not yet reached a final decision. The price increases are sought to compensate for increased costs.
Bearing in mind the recent Budget increases, could the Minister state what the price of a half-pint of beer would be now?
Does the Deputy mean taking account of the recent increase?
Yes, the recent Budget increase.
It should be increased by one penny over what it was before.
There are some publichouses, including Guinness-controlled public houses, in which the price is almost two-thirds the cost of the full pint. Is this justified?
That is a different question.
I am seeking the Minister's comment.
As I understood it, the Deputy's first supplementary question asked what the price should be after the Budget increase. He now says that half-a-pint of beer costs two-thirds of the price of a pint and that seems to be a different question. He is relating it to what the price was before the Budget. The control which exists ties the price to that which was charged before the 1965 Budget, making allowances for increased taxation since the Budget. In certain cases where the character of the premises has been altered that control does not apply because the price charged before the 1965 Budget would be irrelevant. It may be that in this case this has operated.
If the character of the establishment changes does the owner of the establishment have to apply for permission to alter the price?
No.
He can do what he likes?
Yes.
Is it the Minister's intention to take the control off the price of beer?
This is a matter which is under consideration.
Is the Minister aware that some wholesalers in Dublin, and possibly outside it, have increased the wholesale price of beer and stout by a sum which is greater than a shilling a half-pint? Are they entitled to do this or has the retailer any redress?
I have received complaints about this in the last few days. My Department is investigating the complaint and I think I cannot comment further until I have the result of the investigation.
If the Minister finds that these complaints are genuine, and I can assure him they are, are there any steps that the Minister can take or intends to take to see that these people reduce the price?
If I find on investigation that unjustified increases have been made by the wholesalers to the retailers I will take action.
If there is any increase in excess of the actual Budgetary increases will action be taken?
The matter is not quite as simple as the Deputy represents. There is the question of the specific gravity of alcohol supplied. I understand that the duty is applied on an average basis to all the output and also in relation to the specific gravity.
I do not want to hold up the Minister but I am not referring to the specific gravity and so on but some wholesalers are making a case, which anybody who is anyway competent can make at any time, and are using this as a reason for increasing prices. Do I take it that general overheads will not be regarded as a reason for granting increases and that any increases sought must arise as a result of the wholesale tax and, otherwise, increases will not be permitted?
Wholesalers are entitled to maintain their existing prices. If they want an increase they must make application to the Minister