Stricter sale regulations needed as alcohol harm costs soar - Editorial

The Government has done a U-turn on reducing off-licence trading hours. Photo / Alcohol Healthwatch

Editorial

• Alcohol-related harm in New Zealand costs an estimated $9.1 billion annually.
• The Salvation Army urges the Government to reduce off-licence hours to combat alcohol-related violence and crime.
• Planned reforms to the Sale and Supply of Alcohol Act have shifted focus to reducing regulatory burdens.

It’s time for the Government to step up on booze.

Alcohol is destroying people’s lives through health issues, violence, crime and accidents.

This week the Salvation Army called for the Government to tighten up on the hours bottle stores and supermarkets can sell alcohol, with the organisation saying it deals with the effects of alcohol harm every day.

The Ministry of Health’s Public Health Agency commissioned the New Zealand Institute of Economic Research to conduct an updated analysis of the costs of alcohol-related harm in New Zealand, the first since 2009.

The report published in June 2024 estimated $9.1 billion total cost of alcohol harm based on disability-adjusted life years. It included costs associated with Fetal Alcohol Spectrum Disorder (FASD); alcohol use disorder; intimate partner violence (for alcohol use disorder only); child maltreatment (for hazardous drinking only); road crashes where alcohol was a factor; lost productivity associated with alcohol use, including FASD, crimes and workplace absenteeism; and health and ACC spending.

Despite the sobering costs, it seems the Government may have bowed to pressure from the alcohol industry, with a leaked Cabinet paper revealing planned reforms to the Sale and Supply of Alcohol Act have done a U-turn.

Associate Justice Minister Nicole McKee had planned to reduce off-licence sales from the existing 7am to 11pm, making them legal from 9am to 9pm. She said that could have prevented 2400 violent crimes a year.

But to the surprise of some, including the Salvation Army, later versions of the paper showed the reform would now focus on reducing the regulatory burden. The revised paper is due to go before Cabinet today.

At the moment, some councils are developing local alcohol policies for their areas, including off-licence opening hours.

Local alcohol policies in Auckland, Hastings and Christchurch are in place, with 9pm closing for off-licence sales.

However, some other councils have put local alcohol policies in the too-hard basket, citing the cost involved and the threat of industry challenge.

The alcohol industry and supermarkets have big money behind making it difficult for local authorities to compete with.

For example, after three appeals, including one from supermarket giant Progressive Enterprises, Hamilton City Council ditched its local alcohol policy to change the hours alcohol can be sold. It had spent $200,000 on staff and legal time.

While there is an argument for local decisions for communities, alcohol policies are placing a significant burden on councils in terms of time and cost. Most are simply not in a position to be able to take on the powerful alcohol lobby.

Here’s where the Government needs to step in and legislate on reduced off-licence hours. Twelve hours a day to buy booze is more than enough.

No, opening off-licences later and closing them earlier won’t stop alcohol-related harm but it can help to reduce it and ease some of the pressure on our health and justice systems, support agencies and even our local authorities.

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