Pre-mixed drink tax almost doubled

After earlier speculation about an increase in tax for alcopops or pre-mixed drinks, the federal government has today announced it will almost double the tax on those beverages. The excise will rise to $67 a litre of pure alcohol, the same excise as bottled spirits and up from the current $39 a litre - the price of individual beverages is expected to rise by 30 cents to $1.30 depending on alcohol content.

The change is expected to raise an additional $2 billion a year in tax revenue, with the government claiming a "big chunk" will go to preventative health schemes. Mike Daube, president of the Public Health Association, said "this increase will make a real dent in one of our biggest current social problems."

Source: Bloomberg & The Age.