NI licensing laws: No more supermarket points for alcohol sales

Alcohol sellers in Northern Ireland can no longer run loyalty schemes which award points or allow them to be redeemed for alcohol, under new laws.

It is the last of a series of changes from laws passed at Stormont in 2021.

Some supermarkets recently put up signs advising customers they can no longer exchange loyalty points for alcohol nor collect points on alcohol purchases.

Other changes, such as extending the time pubs and clubs could stay open, came into effect in October 2021.

More changes, such as more flexibility for local producers, cinemas and sports clubs came in 2022.

Thursday's changes are phase five of the Licensing and Registration of Clubs (Amendment) Act (Northern Ireland) 2021 and will affect anywhere that sells alcohol, including shops and supermarkets.

Customers in Tesco have been told of the changes

Section 20 prohibits licence holders from "operating a membership scheme which provides rewards to its members when purchasing intoxicating liquor and allows the member to redeem the rewards to reduce the price of the intoxicating liquor or receive it free of charge".

Operating such a scheme carries a fine of up to £5,000.

The aim of licensing law is to try and "strike a balance between the controls which are necessary for the protection of public health and the preservation of public order, and on the other hand, individual freedom of choice and the opportunity for local businesses to meet customer's expectations," the Department for Communities said.

'Disappointing move'

In preparation for the legal changes, signs appeared in Tesco stores in recent days advising customers that the company will "no longer be able to offer Clubcard points on alcohol products" from 6 April.

Likewise, Sainsburys said its customers "will no longer be able to collect or spend Nectar points on selected beers, wines and spirits".

Asda said it had been in touch with customers via email to explain the legislation.

However, it is not just supermarket loyalty schemes which are affected by the new Stormont legislation.

Una Burns says the loyalty scheme was a way of saying "thank you" to customers

Una Burns, who manages Charlie's Bar in Enniskillen in County Fermanagh, said it was a disappointing move.

The pub has been in business since 1944 and was owned by Una's grandfather and father.

"Our loyalty card scheme was introduced to reward our customers for supporting our family-run business - our way of saying thank you," she told BBC News NI.

Customers would get 10% back on their card against any purchase at the bar- so if a pint cost £4.40 they would get 44p on their card.

She said her loyalty scheme did not encourage irresponsible use of alcohol.

"If you go into a coffee shop and get 10 stamps and a free coffee, no-one goes in to buy 10 coffees to get a free coffee - its the same in the bar," she said.

"Post-Covid the hospitality industry as a whole is trying recover - while also battling with the soaring energy and living costs."

Sainsbury's has also had to change its policy

The law around loyalty schemes is the last part of the major overhaul of Northern Ireland's licensing laws.

A similar law came in in the Republic of Ireland in 2021.

The Licensing and Registration of Clubs (Amendment) Bill brought many of Northern Ireland's rules around alcohol sales into line with the rest of the UK and the Republic of Ireland.

In October 2021 the rules over late licencing came into effect, with bars with a late licence permitted to sell alcohol until 01:00 or, for those allowed to stay open additional permitted hours, until 02:00.

That rule change also meant pubs and clubs can operate as normal during the Easter period.