The government has announced a "third way" in the argument between campaigners who are insisting on a 100% liquid pint every time and opponents who say the idea is impractical and too costly.

At present pubs and bars can only be prosecuted if a pint of beer or cider is short by 10% or more. Proposals announced yesterday by the trade and industry secretary, Patricia Hewitt, will lift the legal minimum to ensure consumers receive no less than 95% liquid in a pint of beer or cider.

Announcing the proposals, Hewitt said: "Pulling a pint is not a precise science but at the moment the worst offenders are consistently giving consumers a short measure. This change will give consumers better value for money."

The recommendations are in line with trade bodies' voluntary guidelines, which say that a pint should not be less than 95% liquid, that is at least 19 fluid ounces, and that top-ups should be given if requested.

The consultation document that comes with the proposals points out that the cost to the industry of changing to new pint glasses allowing for 100% liquid and no froth would be £95m. This could be damaging to small independent pubs as well as consumers, who could see higher prices as a result.

According to the public consultation document, licensees who serve less than full liquid measures collectively sell about 200 million more "pints" per year than they buy from brewers and wholesalers. The annual value of short measure is estimated to be about £130m.

Landlords breaking the new regulations could face a fine of up to £1,000 if prosecuted while those who continue to do so risk losing their licence.

The British Beer & Pub Association said the proposals would end 25 years of argument about what constituted a short measure.

However, The Sun this morning said the proposals gave pub landlords the right to "rip off" beer drinkers.

The government will now consult on the proposed changes to the Weights and Measures (Intoxicating Liquor) Order 1988. It is expected to go before Parliament before the summer recess.

Responses to the consultation can be made by 1 July via email to Greg.Vaughan@dti.gsi.gov.uk, or by post to G Vaughan,

Consumer Affairs Directorate, Room 459, Department of Trade and Industry, 1 Victoria Street, London, SW1H 0ET.