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The Department of Health consultation is published together with independent reviews showing that the drinks industry is not adhering to its own voluntary standards, and new evidence suggesting that alcohol is a far wider cause of damage to people's health than previously suspected. New calculations released today put the cost of alcohol misuse to society at £17.7 billion to £25.1 billion per year, with a cost to the NHS of £2.7 billion.

The consultation proposals would mean that the current voluntary retailing code could become mandatory. This would mean retailers could have to:

• restrict the way alcohol is sold such as offering drinks in small as well as large glasses or measures - too often only one size is offered or a large is automatically given
• restrict happy hours or irresponsible price based promotions - women 'drink for free' promotions are still all too common
• display alcohol in off-licence premises in separate areas - no more displays by the checkout
• give point of sale information eg. on units, allowing customers to make an informed choice
• train staff in shops and venues to recognise and refuse alcohol to underage or drunk customers.

Manufacturers will be given until the end of the year to put the required warnings and advice on bottles and cans. If not, government will move to put a mandatory scheme in place. This would require health and unit information on all drinks containers.

New national hospital admissions data are also published today. The new figures show there were 811,000 admissions in 2006 (accounting for 6 per cent of all admissions) compared with 473,500 in 2002.

Three independent reviews are also published today, which show a lack of adherence to voluntary agreements.

Public Health Minister, Dawn Primarolo, said: "The evidence from this series of reviews, and the hospital admissions data, clearly make this the right time to consult on a far tougher approach to the alcohol industry.

"The drinks industry has a vital role to play if we are to change the country's attitudes to alcohol. Some sections of the industry are sticking to the voluntary codes, others are blatantly ignoring them. This consultation will decide whether legally binding regulations for retailers and manufacturers to promote sensible drinking are the way forward.

"Around a quarter of the population drink to a harmful level. These people could be drinking themselves into an early grave - we need the drinks industry to give them the help and information needed to drink at a safer level."

Further information

The consultation can be downloaded from the Department of Health website.

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