A proposed ban on advertising alcohol near schools could have a negative impact on high streets and town centres, MSPs have been told.
Holyrood's Health Committee heard measures in Labour MSP Richard Simpson's Alcohol Bill could result in an effective ban on alcohol advertising in some urban areas, with the potential to damage local economies.
If passed, the Bill would ban fixed advertising such as billboards or window displays within 200 metres of schools, nurseries and children's play areas.
Sarah Hanratty, deputy chief executive of the Portman Group, the body representing UK alcohol producers, told the committee: "The potential impact on a small high street, for example, if you have three shops, a high street that is half a mile long, a couple of schools or a nursery and a creche, then effectively you've banned any sort of alcohol marketing or advertising along that whole high street.
"There can be a big impact to local economies. I think the importance of the night-time economy and a very responsible and enjoyable place that people want to go can be a huge driver of economic value to small town centres.
"So, I would be very cautious about restricting through legislation when actually what you could do is come up with some very clever and innovative voluntary agreements."
Guy Parker, chief executive of the Advertising Standards Authority, also raised the potential economic impact for businesses that rely on advertising funding.
He said: "We don't think the evidence base is there to justify a 200-metre exclusion zone.
"In built-up areas, particularly in Scotland where I imagine there are a lot of schools, nurseries and playgrounds, that's going to, I would have thought, rule out poster advertising to really quite a high degree."
He also warned of the possible unintended consequence of increasing price competition between drinks companies.
"The more you ban advertising, the less options they've got with what to do with their budget and money that is previously in their advertising budget ... moves and they are much more likely to put it into lower prices or price promotions if they're allowed to do price promotions.
"The evidence linking price and consumption is a lot stronger than the evidence linking advertising and consumption."
MSPs heard many drinks producers and retailers have voluntarily agreed not to put advertisements for alcohol on outdoor poster sites within 100 metres of schools.
Lieutenant-Colonel Jonathan Roberts, assistant to the secretary for Scotland at The Salvation Army Scotland, said self-regulation in the alcohol industry had been shown not to be as effective as statutory restrictions.
He said: "We feel that even these measures in the Bill, as good as they are, don't go far enough.
"There are plenty of other businesses that want to advertise, I'm sure the economy wouldn't suffer totally through a lack of alcohol advertising."
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