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INTRODUCTION BLOG

jOHN tIMOTHY, ceo OF pORTMAN gROUP

Welcome to the first in our blog series charting the events of COVID-19 and their impact on the wider alcohol sector. Featuring alcohol charities, partnerships and industry bodies, together we seek to examine what happened during the crisis, the lessons learned and changes that could be implemented going forward to help the recovery. We are delighted to be able to shine a spotlight on the actions of a sector acting fast and responsibly during the pandemic.

The imposing of lockdown was a challenging and unprecedented measure which impacted on the daily lives of everyone in our society. As pubs, clubs and bars closed, sales of alcohol fell dramatically, but the sector responded in a robust and considered manner and demonstrated its commitment to supporting people, looking after teams, protecting pubs and contributing to the community. The blog series examines three key themes:

  • Actions during the lockdown;
  • Impacts on drinking behaviour;
  • Wider perspectives on the challenge and its impact.

Actions during the crisis

Looking at the response from the industry to the crisis, the British Beer and Pub Association will explain how pubs played a greater role in their communities than ever before, including the specific help offered to the NHS and staff on the front line. The Scotch Whisky Association their rapid response which, alongside their members and wider industry, saw, at its peak, more than 1.5 million litres of high-strength ethanol produced every week – enough to produce a bottle of hand sanitiser for every household in the UK. We also take the opportunity to share the diverse and impactful measures taken by Portman Group members who spent tens of millions of pounds on a range of schemes and initiatives to support bar workers, local community groups and research teams.

Impacts on drinking behaviour

While much has been written about the impact of lockdown on drinking behaviours in the short-term, the longer term consequences are yet to become clear. Over two blogs we will look at the research carried out during the lockdown and compare this with the information emerging as the pubs reopen. Across all of the research, it is clear that there remains a moderate majority drinking who enjoy a drink but regularly do so within the low risk 14 unit guidance. However, it is evident that a small number of drinkers increased their alcohol consumption during lockdown and we will hear from Drinkaware on how to best support those whose drinking has increased to higher levels to return to a more moderate approach.

Wider perspectives

Additionally, we look to our affiliate organisations, the Scottish Alcohol Industry Partnership and the International Alliance for Responsible Drinking, for their perspectives on the impact of lockdown in Scotland and the coronavirus response in the wider world. Examining some of the unique cases and situations that have arisen, we will see how the sector has responded to the challenges to support the safe reopening of pubs in Scotland through as well as considering some of the policy pledges and actions that have taken place around the globe. We also examine the impact on sales of alcohol, drawing the latest information from the Treasury and industry data analysts to identify how large the fall in sales was over lockdown and we will look to anticipate the impact of social distancing as it limits the number of customers across the hospitality space.

Finally, towards the conclusion of our series, we will gain the perspective of ClubSoda, the leaders of the Mindful Drinking Movement, who will discuss their members experience during lockdown and the take up of no alcohol alternatives.

We expect that despite this sweep of the bodies involved in the alcohol sector, inevitably we will miss out on highlighting some of the other excellent initiatives that have occurred. If that is the case please don’t hesitate to get in touch and let us know what we’ve missed.

Over the course of the next six weeks we will show that while the range of bodies and organisations in the alcohol sector are broad and wide ranging, they have come together to work extensively and collaboratively to respond to the pandemic. This blog series intends to capture much of the action taken by responsible organisations and offer a sense of the industry’s spirit during this difficult time.

Of course, none of us know what the future will hold. Doubtless the industry will seek to build on the good work done to date as we seek to shape a future in which we can all enjoy alcohol responsibly.

In 2019 the Portman Group published the sixth edition of the industry’s ‘Code of Practice on the Naming, Packaging and Promotion of Alcoholic Drinks’. In order to ensure that the industry understands and is living up to the rules we commissioned the independent auditor Zenith Global to gauge compliance across the sector.
The audit showed that 95% of products were adhering to the code, and all of those that raised concerns have now been addressed.

Background to the audit

The sixth edition to the Code saw significant changes to the rules. It was updated in response to changes in society and expectations of the industry. The update introduced a new principle to protect the vulnerable and a rule on serious or widespread offence. Other new requirements are to avoid encouraging illegal behaviour or implying that alcohol can change mood or behaviour. The new Code was supported with guidance, including updated guidance on immoderate consumption.

The independent auditors reviewed the industry to flag products which were potentially problematic under the new Code.

Audit Results

Zenith Global took a random sample of 500 products from across the country and from a variety of alcohol categories. The audit found the industry was 95% compliant. This is not only a great sign of industry wide compliance and adherence to the Code, but it is a reassuring increase from our 2012 audit which found 92% compliance.

29 products were flagged as potentially problematic by the independent auditors. We contacted the producers and gave them the option of working with us to resolve the issue or remove the product from sale. Alternatively, they could challenge the auditors’ findings and go before the Independent Complaints Panel (ICP).

Of the 29 products flagged during the audit:

• 6 related to food labelling law and were referred to Trading Standards;
• 14 were altered or withdrawn before the new Code came into force;
• 9 went forward to the ICP for review.
6 of the products which went to the ICP were found to breach the Code.

One of the key decisions made by the ICP was about Lucky Buddha, a lager flagged under the new ‘serious and widespread offence’ rule. There was a concern that the bottle would cause serious or widespread offence on religious grounds. After carefully considering the producer’s arguments, the ICP did not uphold the complaint and to this day the ICP have yet to uphold complaints on the basis of offence. An encouraging sign of the responsible way most producers choose to market their products, and the positive work of the Advisory Service who help to prevent more questionable packaging from reaching the market by working with producers directly.

Other significant decisions were against Karpackie 9% and Oranjeboom 8.5%, both strong lagers which progressed to the ICP. These were important for us because the ICP referred to the new principle that alcohol must not appeal particularly to the vulnerable. Both products were found to give undue emphasis to their higher than average strength, in a way that was likely to appeal particularly to those who were vulnerable because of heavy drinking. This demonstrates the positive impact we can have in shaping the industry approach.

All of the decisions by the ICP are published so that producers can understand the rationale of the Panel and apply this when crafting of their packaging. If you would like to find out more about the ICP’s decisions, they are all available here.

Conclusion

The audit has shown not only the positive impact of the Portman Group and ICP, but the strength of industry self-regulation more widely and the commitment shown by UK producers to play by the rules. We are hugely encouraged by the results.

The audit also demonstrates the value of our Advisory Service, who offer advice and training completely free of charge to any producer. The free, fast and confidential advice has ensured that many potentially problematic products have been changed before they reached the market. The service has helped producers to design better packaging and deepen their understanding the Code. We will continue to help the industry to market responsibly, so if you are a producer who would like advice, or perhaps a more detailed training session on how the Code is applied, then please contact us.

This audit has shown that our rules are widely accepted, and we are pleased the industry has continued to hold itself to a high standard through effective self-regulation. It is great news that there has been a noticeable increase in compliance since the last audit. We will keep working with producers to ensure this continues and evolve our approach to meet the changes of the future.

Read more about the audit here.

As the social responsibility body for the alcohol industry we are keen to understand how extended isolation and social distancing has impacted the drinking habits of people across the UK. Seeking to be robust, we commissioned the only study from YouGov[i] to look at a baseline for weekly drinking and the changes that followed.

We seek to be transparent with the results of our research, so you can view the full study here. In summary, they show:

This research builds on a number of other surveys from YouGov, CGA, Alcohol Change UK, Drinkaware and the Institute for Employment Studies, which consistently show that there has not been a spike in alcohol consumption under lockdown. Taken together, it appears that around 4 in 5 Brits are drinking the same, less or stopped during lockdown, with around a third drinking less and a 1 in 5 drinking more.

This appears to support evidence that the lockdown has resulted in fewer sales. Despite media articles highlighting increased supermarket sales, retail sales were more than offset by a collapse in sales in pubs, bars, clubs and restaurants. Tellingly alcohol duty receipts published by HMRC, which reflect all sales, show a fall in receipts of 17% from £1.74bn in March-April 2019 to £1.44bn in March-April 2020.[ii]

For more stats on UK consumption rates view our fact sheet.

Harmful drinking

Whilst our results show that not all increases in drinking should be a cause for alarm, we must be mindful that there remains a minority who continue to drink at high risk levels and have actually increased their consumption.

Our shared efforts need to focus on tackling hazardous drinking and those struggling with alcohol dependence or those on the brink of dependence. There is a real risk this has been exacerbated by the pandemic cutting off social and professional support as well as further economic pressures. Excessive alcohol consumption is dangerous and its effects should not be downplayed.

People drinking at hazardous levels need professional support to overcome what are often multi-faceted challenges. We would encourage all those concerned about their drinking, or about the drinking of someone around them, to seek help from a health professional or visit Drinkaware.co.uk for free support and practical advice.

Looking ahead

As the UK plans for the reopening of the hospitality industry, there is reason to be cautiously optimistic that moderate drinking patterns will continue. Polling from the International Alliance for Responsible Drinking suggests that half (50%) of Brits intend to maintain their new drinking habits, with 35% expecting to return to pre-lockdown habits.[iii]

This survey reinforces the pattern of evidence from other research suggesting that the UK is,and largely continues to be, a nation of responsible drinkers.

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[i] YouGov surveyed 2,070 adults from across the UK online between 22 May and 26 May 2020. The figures have been weighted and are representative of all UK adults (aged 18+). All figures, unless otherwise stated, are from YouGov Plc.

[ii] HMRC – Alcohol Bulletin, May 2020

[iii] IARD June 2020

Chair of the Independent Complaints Panel – Vacancy (June 2020)

Background

The Portman Group was established to promote social responsibility amongst alcohol producers and to demonstrate the industry’s commitment to acting responsibly. Across the last thirty years, it has consistently sought to raise standards within the sector and to showcase best practice. As the alcohol watchdog, it regulates the promotion and packaging of alcohol through a rigorous Code of Practice on the Naming, Packaging and Promotion of Alcoholic Drinks and a Code of Practice on Sponsorship, both of which challenge drinks producers to market and promote their products responsibly.

Complaints made under the Code are considered by an Independent Complaints Panel.  This Panel operates separately from the Portman Group whose role is solely to provide a Secretariat function.

The Code was launched in 1996 and has been reviewed and strengthened and is currently in its sixth edition.  It is regarded as an effective and important system of self-regulation, which commands high levels of compliance and support amongst alcoholic drinks producers and retailers in the UK.

The Independent Complaints Panel is solely responsible for adjudicating on complaints made under the Code.  The Panel has nine members, including the Chair. Details of current membership and the Panel’s decisions are published on the Portman Group website, www.portmangroup.org.uk

The other members of the Panel are appointed by the Chair and the Panel is independently constituted.

Previous Chairs have included Laurence Shurman, the former Banking Ombudsman, Lord Condon, former Commissioner of the Metropolitan Police, and Sir Richard Tilt, former Director General of the Prison Service.  Jenny Watson, former Chair of the Electoral Commission, is the current Chair and will step down in in September 2020.

Panel Chair – role specification

The Chair of the Independent Complaints Panel will:

Neither the Chair nor any other members of the Panel represent or speak on behalf of the Portman Group or its member companies in public or otherwise. It is the Portman Group’s role to publicise the Panel’s decisions to the media, industry and other audiences.

The Chair and all Panel members are fully indemnified, individually and collectively, against any action by drinks companies who may challenge the Panel’s decision in relation to their product.

Panel Chair – person specification

The successful candidate will:

Terms and conditions

The Chair will be appointed for a three-year term, renewable for a further three years by mutual agreement.

An honorarium, currently set at £16k per annum, is paid, as are reasonable travel and other out-of-pocket expenses. The Chair is personally responsible for any tax and other liabilities.

Recruitment process

Applications are to be sent to people@portmangroup.org.uk by 17.00 on Friday 10 July 2020.  Please submit a full CV, together with a covering letter explaining how your experience and qualities meet the role and person specification above.

Please include the names and full contact details of two referees, who must have known you in a professional capacity for at least three years. Referees will not be contacted without prior agreement.

The Portman Group is committed to equal opportunities; applications are welcome from all suitably qualified candidates who meet the stated criteria. The Chair will be appointed through an open and public recruitment process in full accordance with the Governance Code for Public Appointments.

June 2020

Written by John Timothy, Portman Group Chief Executive

As the world continues to fight the COVID-19 pandemic, alcohol producers of all sizes are playing their part to aid frontline healthcare workers and support those in the industry and local communities impacted by ongoing closures to contain the virus.

At the start of the pandemic, producers of all sizes were quick to switch production lines to provide alcohol for hand sanitiser and disinfectant and so far, our members have produced enough alcohol for these purposes to fill around 10,000 bathtubs.

We applaud the solidarity and efforts shown by producers and groups across the industry to make a difference during this unprecedented and difficult time.

Just some of the actions taken by Portman Group members in response to COVID-19 include:

To aid efforts, the Scotch Whisky Association have created an online portal to connect distillers who can produce high-strength ethanol and/or hand sanitiser with packagers, distributors and organisations who are in need of hand sanitiser.

Other trade bodies are playing their part in co-ordinating support for the hospitality industry and workers effected by the prolonged shutdown. The Wine and Spirits Trade AssociationSociety of Independent Brewers and National Association of Cider Makers have created online hubs bringing together key pieces of advice for businesses, whilst the Campaign for Real Ale and SIBA have launched the ‘Pulling Together’ campaign to help consumers continue to support their local pubs and brewers.

Finally, the independent charity Drinkaware is encouraging consumers to drink in moderation and to be careful not to use alcohol as a coping mechanism for stress and anxiety while in isolation.

These are just some of the actions taken to date, with many producers committed to further steps in the days and weeks ahead.  Together, we will pull each other through this, and we encourage everyone to look out for each other and look after their own physical and mental health.

This article first appeared in Drinks Retailing News.

Our Advisory Service is always here for you to give advice on the packaging and promotion of alcoholic drinks.

Since the lockdown started, we’ve had a few enquiries about how to offer product samples responsibly.  Promoters are turning to online platforms and home delivery services to enable consumers to try new products.  There is a particular risk that we’d like you to consider before you run a sampling promotion this way.

Our guidance on sampling says that promoters should:

Only offer samples to people who are over the age of 18. If in doubt ask for proof of age (driving licence, passport or PASS-accredited proof of age card). If proof of age cannot be supplied and you have any doubts as to whether the person is over 18 then you should politely refuse to offer them a sample.

Under the current social distancing guidelines, most deliveries are contact-free and it may be difficult to verify the age of recipients.

Of course, it’s not unusual for alcohol to be delivered to people in their homes as part of their grocery shopping, and retailers will ensure that they do not sell alcohol to under-18s through their home delivery services.  But when a product sample is offered for free, on request, and delivered to the doorstep, there’s a particular risk that it might be supplied to under-18s.  We think it’s not enough to rely on online forms that ask people to enter their date of birth or tick a box to confirm that they are over 18.

If you want to send samples to consumers at home, you should make sure that you have a reliable way to check the age of the person who receives the sample.  If you feel that you cannot do that at the moment without breaking the social distancing guidelines, you should delay your promotion until you are able to do it responsibly.

If you’d like more guidance on this or want to ask about a specific promotion you’re planning, please get in touch through our website or email advice@portmangroup.org.uk

As lockdown loomed over a month ago, we saw numerous media articles featuring supermarket shelves stripped bare as people stockpiled alcohol and other items in the face of continued social distancing measures.

UK alcohol sales jumped by 22% in March, representing an extra £200m in sales of wine, beer and spirits compared to 2019, giving rise to concern that increased sales would be reflected in increased consumption fuelling binge drinking at home.

Several weeks on and, despite the initial fears, the emerging evidence suggests that stockpiling has not resulted in increased consumption. Consider the nation laying down wine, beer, cider and spirits in expectation of supply problems (which haven’t materialised), rather than millions of raucous isolation parties across the nation’s living rooms.

Evidence from researchers, including Alcohol Change UK, shows that around four in five British drinkers continue to drink responsibly, either by drinking the same or less compared to before lockdown. Prior to the lockdown, data from across the UK showed that 78% of adults did not drink or stuck within UK Government weekly drinking guidelines.

For some, the lockdown is providing the impetus to reduce their alcohol intake, with between a quarter and a third of drinkers cutting down or cutting out alcohol altogether.

Recently released surveys highlighting this trend include:

Separately, the latest figures from Kantar show that sales of low and no alcohol products at supermarkets and off-license have increased 18% in 2020 compared to the first quarter of 2019, with a rise of 32.5% immediately prior to lockdown, showing how much they have become a new part of many Brits’ responsible drinking habits.

Furthermore, while retail alcohol purchases are up, this is more than offset by a collapse in sales in pubs, bars, clubs and restaurants shuttered by the lockdown. Just taking beer as an example, sales in pubs slumped 40% in March compared to the same period last year, whilst sales in supermarkets and off-licences grew 10.6%, with overall beer sales down by 12.7% compared to last year.

Whilst the majority of the findings from the surveys are encouraging, the surveys still seem to indicate a concerning trend that around one in five are drinking more at home.

These findings should not be overlooked, especially as the lockdown and social distancing measures continue into the future.

If you are worried about your own or someone else’s drinking, Drinkaware has created a coronavirus information hub focused on providing free support and practical advice to help people cut back.

We would urge all consumers who choose to drink to do so responsibly and to look out for each other and their own physical and mental health during this difficult and unprecedented time.

*This post originally appeared on Drinks Retailing News*

As the world continues to fight the COVID-19 pandemic, alcohol producers of all sizes are playing their part in making donations to aid frontline healthcare workers and support those in the industry and local communities impacted by ongoing closures to contain the virus.

We applaud the efforts of all producers and groups across the industry to make a difference during this unprecedented and difficult time.

Just some of the actions taken by Portman Group members in response to COVID-19 include:

To aid efforts, the Scotch Whisky Association have created an online portal to connect distillers who can produce high-strength ethanol and/or hand sanitiser with packagers, distributors and organisations who are in need of hand sanitiser.

Other trade bodies are playing their part in co-ordinating support for the hospitality industry and workers effected by the prolonged shutdown. The Wine and Spirits Trade Association, Society of Independent Brewers and National Association of Cider Makers have created online hubs bringing together key pieces of advice for businesses, whilst the Campaign for Real Ale and SIBA have launched the ‘Pulling Together’ campaign to help consumers continue to support their local pubs and brewers.

Finally, the independent charity Drinkaware is encouraging consumers to drink in moderation and to be careful not to use alcohol as a coping mechanism for stress and anxiety while in isolation.

These are just some of the actions taken to date, with many producers committed to further steps in the days and weeks ahead.  Together, we will pull each other through this, and we encourage everyone to look out for each other and look after their own physical and mental health.

In light of the Government’s Covid-19 advice the Portman Group team are currently working remotely. If you need to get in touch, please get in touch via the following means:

An advice request

A naming, packaging and promotions complaint

A sponsorship complaint

If you have a media request then please call our press line on 07730 525701.

RAB Flyer CollaGinAfter the Independent Complaints Panel (ICP) has upheld a complaint the producer will have several choices about how to proceed. Most producers will make changes to their packaging to bring it in line with the Code or voluntarily remove it from the UK market. We have worked with producers to amend more than 150 problematic products; but only 7 have received a Retailer Alert Bulletin (RAB) since 2015. We only issue a RAB if the producer chooses not to comply with the decision or fails to respond to correspondence from us relating to the ruling.

A RAB is the Portman Group’s most serious sanction against a product which has breached of our Code. It requests that retailers to cease stocking the product and informs wider groups about the ICP decision.

Why do we issue a RAB?

It is really important to be clear that we never want to issue a RAB. It is the absolute last resort for the Portman Group and is only used in response to a producer who refuses to communicate or comply with the ruling. We are not here to harm business or financially punish those whose products breach the Code. We always seek to work with producers, offering them numerous opportunities during the complaints process to submit redesigns or engage with our Advisory Service.

It is only after a Panel decision has been ignored, or the producer chooses not to comply, that we issue a RAB.  The vast majority of producers either make amendments to the design or withdraw the product from the UK market.

It is a vital part of being an effective regulator that the Independent Complaint Panel makes effective rulings and that non-compliance is not seen as a viable or attractive option. For a self-regulated Code, it is essential we work with the industry for the public interest to help stop the sale of products which bring the industry into disrepute. We believe that it is important for the industry to have strong self-regulation and RABs are an important tool to allow us to sanction products that do not meet the required standards for socially responsible marketing of alcohol.

Issuing a RAB

We issue a RAB to all Code signatories, as well as publishing it through our website, informing people that we have found a product to be in breach of the Code. There are currently more than 130 Code signatories including producers, importers, wholesalers, retailers and trade associations.

We inform Code Signatories about the breach and request that they do not replenish stock after three months of the RAB being published. This ensures retailers are not financially punished for selling a problematic product and gives them ample time to sell through any remaining stock. Retailers who continue to stock a product in receipt of a RAB could be in breach of the Licensing Act which is enforced by Trading Standards.

You can see right an example of a RAB against the product Collagin.

You will notice that we include a name and image of the product, as summary of the decision and when licensees should cease stocking the product.

Though we do not want to punish producers, it is important that for public good and the reputation of the industry that non-compliant products are removed for sale. This is our most effective tool to achieve that, using voluntary action by retailers who wish to uphold socially responsible marketing. Failure to comply with a  nationwide scheme of industry self-regulation cannot be allowed to pass without repercussions for those deemed to be in breach.

If you have any questions about RABs please contact complaints@portmangroup.org.uk