Abstract A new Alcohol Act came into force in Finland in 2018. The preparation of a comprehensive reform of the alcohol legislation was started already in 2011. The aim of Finnish alcohol policy has been to reduce alcohol-related harm, and the central means to do that have been by way of high taxation and restrictions in the physical availability of alcohol, in which the state alcohol monopoly has had a central role. The process of reforming the act was a long battle between forces that wished to continue underlining the public health aims and using efficient tools to reach those aims on the one hand, and neoliberal politicians aligned with the strong alcohol industry lobby and enthusiasts in social media who wished to get rid of regulation. The new Act somewhat expanded the rights of grocery stores to sell alcohol and de-regulated the on-premise trade by dismantling regulations in the old legislation. The retail state monopoly was weakened as a result, but it still has an important impact on restricting the physical availability of alcohol. Previously when alcohol has been made more available, consumption has increased, and also this time this was the expected outcome. However, an interrupted time series analysis has shown no statistically significant effect of the law change in the first year. One central explanation seems to be that price competition has been less intense than expected. Nonetheless, despite the fact that alcohol taxes were raised, a 10-year downward trend in alcohol consumption from 2008 to 2017 was halted.
Read full abstract