Britain welcomed as a "clear win for the government" a European court ruling rejecting a bid to allow online European shoppers to purchase cheap cigarettes and alcohol anywhere within the EU.

The proposal would have enabled British drinkers and smokers and to buy low-tax products from outlets in Continental Europe electronically, without leaving their living rooms, and receive local delivery.

The British government risked losing far more tax revenue than its European Union partners, and the treasury said it was "pleased" that its arguments had been accepted at the European Court of Justice in Luxembourg.

The court upheld the current interpretation of EU rules which state that in order to benefit from lower taxes elsewhere, consumers have to travel to the EU country in question and pick up their purchases, or go on "booze cruises" in British parlance in a reference to cross-Channel ferry trips to shop in Continental Europe.

"Today's judgement means that there is no tax change for cross-border purchases of alcohol and tobacco," the Treasury said in a statement.

"The government is pleased that the European Court of Justice has accepted the arguments which it and other member states put forward in support of the current arrangements.

"The government continues to strongly support the right of individuals to benefit from the freedoms of the EU single market but remains determined to crack down on those who seek to abuse those rights.

"This judgement is a clear win for the government, and a victory for common sense."

The ruling had been keenly awaited in Britain where alcohol and cigarette taxes are particularly high compared to those on the Continent, and notably in neighbouring France.

The weekday or weekend booze cruise is a common pursuit for many British consumers who return from warehouse shops in northern France with cars and vans laden with wine, beer, spirits and cigarettes.

Before the ruling, BBC television reported that Britain could lose billions of pounds (dollars) in tax revenue, possibly forcing it to raise taxes in other areas in order to compensate for the loss.