Smaller shops notice changes as a result of minimum unit pricing

Shopkeepers at smaller stores have seen a varied response to 50p minimum unit pricing but believe it allows them to compete with bigger supermarkets, a study into the impact of the policy has found.

Some small retailers have said there has been little change to their sales of drinks most affected by the policy, while others have noticed a reduction or have just stopped stocking the products.

Where drinks such as high-strength cider had their price increased due to the policy, shopkeepers told a Stirling University study that increased profit margin often compensated for any reduced sales.

The research into the policy’s impact on small Scottish retailers also found fewer shops prominently displaying the price on the packaging on the mostaffected products.

But shopkeepers told researchers that they feel “better able to compete with prices in supermarkets”, according to Martine Stead, from Stirling University.

The deputy director at the Institute for Social Marketing and Health said the vast majority of small stores implemented the policy when it came into force in May 2018 “with little or no adverse effect on small businesses”.

She added: “Retailers reported that they had reduced or stopped stocking some products which had seen particularly large increases in price after the implementation of minimum unit pricing, such as larger bottles of strong ciders.

“Overall we observed the most change amongst the high-strength cider and perry categories, which had typically been priced below minimum unit pricing.”

Shopkeepers told the researchers they feel “better able to compete with prices in supermarkets”.