Tax take falls short of alcohol illness costs

The cost to the State of alcohol related problems far outweighs what the Exchequer takes in taxes from alcohol sales, according to a report published today.

It found a minimum of €2.65 billion was spent last year in treating illness, diseases and injuries caused by alcohol abuse.

The figures, contained in the second report from the Strategic Task Force on Alcohol, notes that this figure errs on the side of caution and that the real cost could be considerably higher.

The State took in almost €989 million in alcohol taxes in 2003 and a further €915 million in VAT, giving a total revenue of over €1.9 billion to the Government from alcohol sales.

More than 1,400 people a year on average die in the State from diseases linked to alcohol, with the death toll peaking at 1,542 in 2001 - the year alcohol consumption reached an all-time high.

Alcohol is involved in 25 per cent of all deaths of young men aged between 15 and 29 years of age and is a factor in almost half of all fatal road crashes in that age group.

It also contributes to over one third of poisonings, drownings, homicides and falls and to 20 per cent of suicides, the report said.

The five main alcohol-related causes of death for all ages are cancers related to drink; alcohol dependence or abuse; chronic liver disease and cirrhosis, alcohol poisoning and suicide.

Up to 12 people out of every 100,000 residents in the State commit suicide each year due to alcohol.

The report claims alcohol plays a role in 40 per cent of all road fatalities and 30 per cent of all crashes.

The report says the introduction of penalty points has failed to impact on the number of people killed between 9 p.m. and 4 a.m., the times most associated with drinking and driving.

In 2002, 14 more people died during these times than during the same period in 2001.

The report noted limited enthusiasm for longer opening hours, with only 8 per cent of people in favour of the idea. However, it also pointed out that the number of exemption orders granted, which allow a judge to set longer hours for alcohol sales, have risen dramatically.

In 1994 the number of orders granted was 55,290, in 2001 it was 75,498 and in 2002 it was just under 82,000. The report points out that the 2002 increase was "all the more remarkable given that the opening hours had also been extended [that year]".

The €6 billion spent on alcohol last year reflects 5.5 per cent of the average annual household spend. This translate into €1,942 for every adult over the age of 15. However given that an estimated one fifth of the population do not drink the true figure is considerably higher.

The amount of money spent on alcohol advertising has also risen sharply in recent years and was valued at €43.2 million. The report recommends immediate implementation of the Alcohol Products Bill which is currently being drafted.

This legislation was called for in the first Strategic Task Force on Alcohol report in May 2002. This legislation will allow the Minister to regulate where alcohol ads can be placed, regulate the content of such ads and require a health warning on alcohol advertisements.