A local alcohol policy in the works since 2015 has been given the final stamp of approval in Auckland, bringing new rules for off-licence premises and maximum trading hours – all in the hopes of reducing alcohol-related harm.
Before you start fretting about never having another nightcap again or no longer having any reason to leave the house after 9pm, don’t worry. No one’s stopping you going to bars in the CBD till 4am. But last Thursday, August 29, after almost a decade of legal battles with the supermarket duopoly, Auckland’s councillors unanimously voted to adopt a new local alcohol policy that will restrict the availability of booze in our biggest city. Here’s what you need to know.
What’s a local alcohol policy?
Local alcohol policies are developed by councils to influence the location, number and trading hours of businesses that sell alcohol, in order to (hopefully) reduce alcohol harm. They were part of the 2012 liquor legislation overhaul, which resulted in a bill to “improve community input into local alcohol licensing decisions” by enabling councils to make their own decisions. In practice, trying to implement the laws has resulted in long, expensive and uneven legal battles between councils and parties with vested interests, especially the supermarket duopoly and bottle stores. The Christchurch and Hamilton councils opted to walk away when the battles became too expensive. Others have compromised with the alcohol industry out of the public eye.
Some councils that have already succeeded in adopting local alcohol policies include Central Hawke’s Bay, Tīmaru, Horowhenua, and Porirua City (where it’s currently under review). Waikato is currently in the process, but dealing with three appeals.
So what’s the deal with this one?
There are two stages to Auckland Council’s policy. The first, coming into effect on September 16, enforces stricter rules for new off-licences (bottle shops and supermarkets) wanting to open in the central city and 23 Auckland suburbs including Avondale, Glen Innes, Manurewa, Ōtara, Henderson and Papakura. These areas have been targeted as they have high levels of alcohol-related crime, populations that experience disproportionate harm from alcohol and high numbers of existing alcohol licences. The additional rules for these areas mean applications to open new off-licence shops are likely to be declined for the next two years, unless a very high threshold is met.
The second stage comes into effect on December 9, when bottle shops and supermarkets in Auckland will no longer be able to sell alcohol after 9pm (they’re currently able to until 11pm). Bars and restaurants in the central city will still be able to sell alcohol until 4am, but those outside the central city will have to stop at 3am. Sports clubs and RSAs will be able to sell alcohol until 1am.
Festivals and events will not be impacted – they go through a different application process to get special one-off licences through the District Licensing Committee.
Why are things changing?
In short, to reduce harm and because it’s what most consulted communities and local businesses wanted. In an Auckland Council media release, Health New Zealand medical officer of health June Leung said alcohol was responsible for more than 900 deaths and 29,000 hospitalisations each year. “The high availability of alcohol in our neighbourhoods contributes to these harms.” Limiting the number of alcohol outlets and the hours they can trade was shown to reduce alcohol harm, such as injuries, violence and car crashes, she said.
In June, internal police documents released to RNZ revealed that police estimated the harm from alcohol to cost about $7.8 billion a year, far beyond the $1.8 billion in harm from illegal drugs. Police commissioner Andrew Coster said alcohol was a “significant driver” in violence, homicide and family abuse. He said off-licence premises were particularly problematic, and advocated for restricting the availability of alcohol.
Auckland councillor Josephine Bartley, chair of the regulatory and safety committee, said local alcohol policies allow local people to have a say over where and when alcohol is available in their area. “When we consulted people on the policy, we heard from communities and businesses. They told us that we didn’t need more off-licences, and the hours that shops can sell alcohol should be reduced. That’s what we’ve now been able to achieve.”
Why did it take so long?
Well, well, well – because of pushback from industry interests, particularly our two major supermarkets. The council had been fighting a legal battle against Foodstuffs North Island Limited and Woolworths New Zealand Limited for eight years, mostly over the maximum trading hours. To implement local alcohol policies, councils must go through a process that allows appeals to be made – and that is exactly where the supermarkets came in.
Their appeals to the Alcohol Regulatory & Licensing Authority were pushed all the way through the High Court to the Court of Appeal and, eventually, to the Supreme Court. But in May 2023, the Supreme Court dismissed the supermarkets’ appeals and awarded costs to the council. The supermarkets did manage to shift the maximum trading hours in the policy from 9am-9pm to 7am-9pm, gaining two hours of extra sales in the morning.
Who supports the changes and who doesn’t?
Community support services, alcohol harm advocates, public health organisations and academics have been largely in favour of local alcohol policies. Ana Ika, a Salvation Army social policy analyst, said the charity’s support services encounters significant levels of alcohol harm. “While our services, and others like ours, are vital in providing support, we are essentially the ambulance at the bottom of the cliff. What we truly need are fences at the top of the cliff to safeguard our whānau and mitigate alcohol harm, and the local alcohol policy is one such fence we can build,” she said in a statement.
Māori public health organisation Hāpai Te Ora has supported LAPs, while Communities Against Alcohol Harm secretary Grant Hewison told RNZ the new policy would “make a significant difference”. Laura Joyce, an emergency medicine physician at Christchurch hospital who authored a study into alcohol-related ED presentations earlier this year, said the research highlighted the need for LAPs. NZ Police has also supported Auckland’s LAP, with Tāmaki Makaurau partnerships director Scott Gemmell saying it was a step in the right direction.
Industry lobby group Hospitality New Zealand has opposed LAPs, last year saying they could “threaten the future of many small licence holders”. On Friday, RNZ reported that some South and West Auckland liquor stores feared they could lose up to 40% of their business under the new regulations. Parem Jeet Singh, owner of Super Liquor Mount Wellington, said many of his customers were shift workers as the area is industrial – they go there because they know his shop is open until 11pm. Closing two hours earlier each day would also mean staff missed out on a total of 14 hours of pay each week.
What’s next?
The Supreme Court decision largely backing Auckland’s plan has paved the way forward for other councils. In June, Christchurch City Council voted to begin developing its own local alcohol policy. The policy is in development, with a report expected by the end of the year.
In Auckland, there’s been a “rush” of new applications in the last three to four months, perhaps timed to get in before the new rules take effect. According to the council, 139 new liquor licence applications were made between May and August – 22 for off-licences, 115 for on-licence and two for clubs. Come September 16, this is likely to ease.