Booze cap hits little guy

CAPPING alcohol sales to 25 per cent of total turnover for corner stores would put small businesses at a “competitive disadvantage” against the big supermarket players, a Commonwealth body has warned.

A submission from Australian Small Business and Family Enterprise Ombudsman Kate Carnell said the 25 per cent cap would give an “unfair competitive advantage for national supermarket chains … at the expense of smaller licensed grocery stores”.

Under the new laws proposed by the Territory Labor Government, the 25 per cent cap would apply only to corner stores for which alcohol is considered an “ancillary” product.

The submission also says the cap would place a “large logistical and compliance burden” on small businesses.

“Small businesses would need to continuously monitor sales to ensure that liquor sales remain below 25 per cent of overall sales and potentially restrict or cease alcohol sales for a period of time if liquor sales appear to be tracking above 25 per cent of revenue,” Ms Carnell wrote.

“Peak periods of alcohol sales coinciding with major events and celebrations like Christmas and New Year’s Day would need to be averaged over the year to ensure the annual cap is not breached,” she said.

Instead of imposing an “arbitrary” cap which affects only small business, the Ombudsman has lobbied for monitoring and compliance powers to be used to punish stores which break the rules.

Attorney-General Natasha Fyles rejected the claim that the reform was unfair to small businesses.

“Our alcohol reforms target supply across the board, and do not unfairly target any one sector,” she said.

Ms Fyles said Labor’s alcohol reforms – including the Banned Drinker Register and floor price – were “already having an impact”.

“There has been a 20 per cent decrease in alcohol related assaults in the year to April across the Territory,” Ms Fyles said.