Nordic alcohol monopolies: understanding their role in a comprehensive alcohol policy structure and public health significance

Abstract

This report explores the role of Nordic alcohol monopolies in Europe. Operating in Finland, Iceland, Norway, Sweden and the Faroe Islands, these State-owned entities prioritize public health and minimize alcohol-related harm as integral components of national alcohol strategies. Exclusively authorized to sell most alcoholic beverages, they operate under government oversight. Unlike other retail outlets, they are not driven by profit or sales, focusing primarily on public health and welfare. The monopolies align with WHO evidence-based recommendations for reducing alcohol consumption and harm, which include high alcohol taxes, limited availability and restricted marketing. They implement these strategies by controlling the number of stores, limiting operating hours, enforcing age limits, banning promotional pricing, and eliminating advertising and sales promotions, including online. Additionally, they educate the public about alcohol-related harm and ensure responsible sales practices. Historically, these monopolies have contributed to a shift in northern Europe from irregular, heavy drinking to more moderate consumption, resulting in lower alcohol consumption and harm compared to other European countries. Evidence consistently shows that privatization of alcohol sales increases consumption, while monopolization decreases it. Despite recent policy changes threatening their effectiveness, the Nordic alcohol monopolies remain crucial to national alcohol strategies, safeguarding public health and reducing alcohol-related harms.