Minimum price for alcohol

1Minimum price for alcohol

(1)The applicable minimum price for alcohol is to be calculated, for the purposes of section 2 of this Act, by applying the formula M × S × V, where—

(a)M is whatever price is specified in regulations as being the minimum unit price for the purposes of this Act, expressed in pounds sterling,

(b)S is the percentage strength of the alcohol, expressed as a cardinal number,

(c)V is the volume of the alcohol, expressed in litres.

(2)Where but for this subsection the applicable minimum price for alcohol would not be a whole number of pennies, it is to be rounded to the nearest whole penny (taking half a penny as being nearest to the next whole penny above).

(3)For example—

(a)in the case of a bottle of wine, S (percentage strength of the wine) is 12.5%, and V (volume of the wine) is 75 centilitres;

(b)taking M (specified minimum unit price) to be £0.50, the applicable minimum price for the wine would be calculated as £0.50 × 12.5 × 0.75 = £4.69.