PUBLICANS outside the Dublin area have agreed to reduce the price of alcoholic drinks to pre-November 1996 levels. However their colleagues in Limerick city have refused to accept the cut.
The Minister of State for Commerce, Science and Technology Mr Pat Rabbitte, warned last night that this was "unacceptable". He said Limerick city publicans "would have to fall in line with the rest of the country".
The Vintners Federation of Ireland appealed to Mr Rabbitte, to defer imposing a maximum prices order for 48 hours to enable further talks to take place with the Limerick publicans. Mr Rabbitte agreed to this and the federation will contact his Department before the close of business tomorrow.
The federation's national council, which represents publicans outside Dublin, met yesterday and discussed the earlier call by the Minister for them to back down on their recent 5p increase or he would make a price-fixing order. He said Dublin publicans had reduced their prices and inflation was the same in rural areas as in Dublin. He wanted publicans to return to pre-Christmas prices.
The publicans, with the exception of those in Limerick city, agreed to Mr Rabbitte's request. Later, representatives of the federation met the Minister and told him of the outcome. He then issued the warning that if the Limerick publicans, did not comply with the reduction, he would impose the price-fixing order.
The Competition Authority is carrying, out an inquiry into the retail drinks trade following Government anger over two price rises of 5p in the cost of a pint of beer in some Dublin pubs before and after Christmas.
The Licensed Vintners' Association, which represents 600 Dublin publicans advised its, members who had imposed the increases to drop them immediately.