Steve Fielding (Victoria, Family First Party) Share this | Link to this | Hansard source

My question is to the Minister representing the Minister for Health and Ageing, Senator Ludwig. The government said it introduced the alcopops tax to combat binge drinking. Would the minister please advise the Senate how the government is measuring the success of the alcopops tax?

Joe Ludwig (Queensland, Australian Labor Party, Manager of Government Business in the Senate) Share this | Link to this | Hansard source

I thank Senator Fielding for the question. Of course, he is right when he says that the alcopops consumption in any given week is such that approximately one in 10 of 12- to 17-year-olds are binge drinking or drinking at risky levels. Those are the facts about it. Binge drinking is a problem in the community and the fact is that alcopops are a problem. The alcopops industry received a tax break from the Liberals. The distillers’ own figures show that sales have increased by over 250 per cent since the Liberals created the loophole. Then look at what Mr Turnbull says about it:

This is a money-raising exercise, it is not going to stop young people drinking …

What Mr Turnbull has not considered—he has not thought about it—is what he is going to do about it.

Looking at the third parties supporting the alcopops measure, an independent report—commissioned by the Howard government—by David Collins and Helen Lapsley, The avoidable costs of alcohol abuse in Australia and the potential benefits of effective policies to reduce the social costs of alcohol, found:

There would appear to be strong justification for the April 2008 increase in the Australian tax on pre-mixed drinks …

Steve Fielding (Victoria, Family First Party) Share this | Link to this | Hansard source

Mr President, I raise a point of order on complete irrelevance. The question was: please advise the Senate how the government is measuring the success of the alcopops tax. He has 30 seconds left and he has not even got there. Could you please get him back to answering the question?

John Hogg (President) Share this | Link to this | Hansard source

Senator Ludwig, I draw your attention to the fact that you have 31 seconds left to answer the question that has been raised by Senator Fielding.

Joe Ludwig (Queensland, Australian Labor Party, Manager of Government Business in the Senate) Share this | Link to this | Hansard source

As I was saying, when you look at the independent research, it supports what we have been saying about dealing with alcopops: it is a serious issue, we need to address it and the support of the independent report provides the basis for saying this is an appropriate measure to undertake. The Alcohol and Other Drugs Council of Australia said:

… the responsibility for getting sensible— (Time expired)

Steve Fielding (Victoria, Family First Party) Share this | Link to this | Hansard source

Mr President, I ask a supplementary question, even though the primary question was not answered. Last month the New South Wales Labor health minister said alcohol related admissions to hospital emergency departments in New South Wales have soared by 130 per cent for 18- to 24-year-olds in recent years. Is the minister saying that the New South Wales health minister is wrong, and what is the level of alcohol related hospital admissions for other states? Is it going up or down?

Joe Ludwig (Queensland, Australian Labor Party, Manager of Government Business in the Senate) Share this | Link to this | Hansard source

On what the measure has achieved so far, the excise figures show that, from May to September 2008, total spirits clearances decreased by 9.2 per cent, relative to the same five-month period in 2007. This includes a 40 per cent decrease in alcopops sales and a 19 per cent increase in full-strength spirits sales. What we are doing is taking decisive action in respect of alcopop sales, and the figures underpin that we are achieving some measure of success in this area. Young people are the people who are in the frame for binge drinking or being affected by it. If there are further figures that I can garner out of New South Wales or other state hospital systems to support this, I will. What is clear in the advice from the NHMRC guidelines is that they are— (Time expired)

Steve Fielding (Victoria, Family First Party) Share this | Link to this | Hansard source

Mr President, I ask a further supplementary question. Family First has always been concerned that this tax is nothing more than a revenue raiser. Would the government agree to an independent assessment of the success of this tax in combating binge drinking across Australian communities?

Joe Ludwig (Queensland, Australian Labor Party, Manager of Government Business in the Senate) Share this | Link to this | Hansard source

The evidence is clear on this. It is clear that increasing prices reduces alcohol consumption, and that is particularly so for young people. International experience backs this up. Higher excise taxes have been shown to significantly reduce the frequency of youth drinking and the probability of risky drinking levels. The effects of price on alcohol consumption and alcohol related problems are clear. That is the position that is being demonstrated. The research already underpins that. Local and international studies on the effectiveness of price related levers on levels of alcohol consumption reliably show that higher prices lead to a reduction in consumption, especially among price-sensitive groups such as young people. That was shown as early as 2004 in The prevention of substance use, risk and harm in Australia: a review of the evidence by Loxley et al. (Time expired)