Increasing liquor prices: public health or revenue? ABC says proposal is both

August 13, 2026 - 17:17

The plan would raise the cost of the lowest-priced spirits, which are often the most popular among budget-conscious consumers. The ABC argues that higher prices discourage excessive consumption, a tactic supported by some public health research. However, the same report also projects a significant increase in profits for the state, which relies heavily on liquor sales as a revenue source. The ABC says the proposal is both a health measure and a financial one, but critics question whether the two goals can truly be balanced. If the price increase reduces sales, revenue could drop, which would hurt the state's budget. If it doesn't reduce sales, then the health benefit is questionable. The ABC maintains that even a small decrease in consumption, combined with higher prices per bottle, would still yield a net gain for the state. The proposal is now under review, and lawmakers will have to decide whether the potential health benefits justify the higher cost to consumers.