40P DIFFERENCE IN THE PRICE OF YOUR PINT.

Drinkers in Ireland are being ripped off by as much as 40 Pence a pint.

Greedy publicans are able to name their own prices because of a lack of competition.

And as a top-level investigation into the whole industry kicked off yesterday, the man leading the probe backed economists' claims that boozers are being forced to pay way over the odds. The row comes on the back of the controversial 5p-a-pint increase imposed by landlords last week.

Commerce Minister Pat Rabbitte has threatened to cap prices at November levels if the increase is not removed.

Yesterday Competition Authority chairman Prof Patrick Nutt supported claims that drinkers were paying 40p a pint more than they should be.

As he launched the authority's pub probe he said: "In the absence of competition there are high prices out there."

And he said the inquiry could radically change the industry, leading to the opening of more pubs to bring down prices.

Professor Nutt said the probe would include a study of the licensing laws, possibly with a view to lifting restrictions which limit the number of licensed premises and curb competition.

Any change could mean the granting of permission for several new pubs in the greater Dublin area, in which the number of bars is currently capped at 700.

But Prof Nutt insisted he did not want to see a free-for-all with people opening pubs like corner shops.

He said there would have to be some sort of control, but if publicans obeyed the licensing laws he would be in favour of increasing competition.