On-trade

UK Budget scraps duty escalator

The UK Government has responded to industry calls to scrap the alcohol duty escalator and has even dropped the duty on a pint of beer by 1p in yesterday’s Budget.

Duty on alcohol is to rise with inflation but duty on Scotch and other spirits as well as “ordinary cider” will be frozen.
“This means pubs saved, jobs created and a penny off a pint for the second year running,” said The Chancellor of the Exchequer George Osborne.

“This is fantastic news and George Osborne is again the toast of Britain’s brewers, pubs and pub-goers,” stated the British Beer and Pub Association’s Brigid Simmonds, commenting on the second,historic beer duty cut in the Budget, “It will protect over 7,000 jobs over two years, mostly jobs of younger people in Britain’s pubs.

“It also shows that the Government has understood our case, that taxes on British beer had become far too high and action was long overdue.

“I hope this becomes a trend in future budgets for this British-made, lower-strength drink.”

Commenting on the Government’s decision to scrap the alcohol duty escalator, Wine and Spirit Trade Association Chief Executive Miles Beale said, “It is great news that our Call Time on Duty campaign has been successful.

“This will be widely welcomed by consumers and businesses across the UK. The Chancellor’s decision to scrap the alcohol duty escalator a year early and freeze alcohol duty for spirits is fantastic news and will be widely welcomed by consumers and businesses. The move will help British pubs, bars and restaurants up and down the country and will boost jobs and investment in the great British drinks industry and in the hospitality sector more widely.

“While we would have liked to have seen a complete freeze on wine duty, the WSTA and our Call Time on Duty campaign partners applaud the Chancellor’s decision to scrap the escalator and will be raising a toast to George Osborne.”

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