Alcohol industry and government revenue derived from underage drinking by Australian adolescents 2005

Abstract

Aims: The purpose of this study was to estimate the revenue gained from consumption of alcohol by adolescents for each beverage type for the year 2005. Design: Secondary analysis of self-reported alcohol use in the 2005 Australian Secondary School Surveys Alcohol and Drug Use. Setting: Australia. Findings: Over 506,000 adolescents aged between 12 and 17 years (29% of all Australian adolescents) consumed approximately 175.69 million standard drinks in 2005. The total revenue generated by the consumption of these beverages was estimated to be $218 million, of which the government received approximately $107 million or 49% in taxation revenue. Total revenue per underage drinker is estimated at $430.84 with revenue increasing with age. Males tend to spend more on spirits and beer while females spend more on pre-mixed spirits. Females aged 12-15 years spend around $121 per year (or 50% of total expenditure) on pre-mixed spirits compared to females aged 16-17 years old that spend around $257 per year (or 62% of total expenditure) on pre-mixed spirits. Conclusions: The Australian government and the alcohol industry receive substantial financial benefit from the sale of alcoholic beverages to under age drinkers. Crown Copyright © 2008.