Alcohol taxes may need to rise each year to stop us drinking more

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Australia; New Zealand; WA

People tend to drink more alcohol as economies and incomes grow, but upping alcohol taxes can help put on the brakes on our growing grog consumption, according to Australian research.  The authors say that if alcohol taxes remain constant over the next decade, it is likely that we will be drinking more per person in 2027, compared to 2017. They found that a working rule of thumb to stop this increase in drinking is to increase alcohol tax rates by about half the growth rate of the gross national income. For rich countries, such as Australia, they say this equates to about a 1.0–1.5 per cent annual increase in alcohol taxes.

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Drug and Alcohol Review
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Organisation/s: The University of Western Australia
Funder: The authors have no conflicts of interest.
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