The abolition of duty-free shopping within the EU last year failed to have the feared impact on full-year profits at UK drinks giant Allied Domecq, the group said yesterday.

Pre-tax profits, after one-off items, rose to £419 million sterling in the year to August 31st, against £221 million for the previous 12 months. Turnover at the group slipped to £2.62 billion, against £3.48 billion last time, due to the group's wholesale restructuring of its business during the year.