Excise duties on alcohol are to be reduced from January 1 to discourage people from going to Sicily to stock up, Finance Minister Tonio Fenech said in his budget speech this evening.

He said that although local taxes would remain higher than in Sicily, it would be less worthwhile to illegally import alcohol. Where excise duties are lower than abroad, they will be raised. Excise on alcopops (popular with youths) will rise immediately.

The government, the minister said, did not want to promote drinking, and the minimum drinking age is being raised from 16 to 17.

Excise on tobacco and cigarettes is being increased by 20c per packet immediately.

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