Australia: Australians spend an extra A$2 bln on alcohol this year

Household alcohol spending shot through the roof in Australia this year, with people spending A$2 billion more than normal on alcohol during the coronavirus pandemic, 9News reported on December 22.

A Finder analysis of Australian Bureau of Statistics data showed that in 2020, Australians spent an average of A$1891 on household alcohol – up A$270 on 2019.

Spending shot up 17 per cent year-on-year in the September quarter to A$6.18 billion, just shy of June's record-breaking A$6.21 billion.

"Months of being forced to stay home, along with the stress brought on by the pandemic, and frankly, boredom, are all reasons for increasing consumption," Finder insurance specialist Taylor Blackburn said.

"The average drinker is spending more than the cost of two gym memberships on grog."

A recent Finder survey showed spending on alcohol wasn't slowing down, with consumers looking to spend A$136 on alcohol on the period between Christmas and New Year's alone.

Following this year's pandemic, one in five Australians (20 per cent) increased their alcohol intake over the lockdown months, according to research from ANU.

Of those who drank more through the lockdowns, nearly one in three (28 per cent) consumed three to four standard drinks extra.

The top reasons for reaching for the liquor cabinet included spending more time at home (66 per cent), boredom (44 per cent) and increased stress (35 per cent).

Along with increased health risks, Mr Blackburn said, heavy alcohol consumption could affect people's chances of getting life insurance.

"Alcohol abuse is often excluded from life insurance policies, and you're likely to receive a higher premium if you suffer from alcohol-related health conditions," Mr Blackburn said.

But Alcohol Beverages Australia CEO Andrew Wilsmore said "the figures don't reflect the reality of the pandemic".

"The ABS data only covers the sale of packaged beer, wine and spirits and doesn't take into account the forced lockdown during 2020 of pubs, clubs, bars and restaurants," Mr Wilsmore said.

"The fall-off there was far more substantial and even the Tax Office is forecasting a A$670 million reduction in excise duty."

21 December, 2020