UKSA and cross-party MP’s express concerns on spirit tax hike
The UKSA has joined cross-party MPs in stating that the hike will be “actively damaging” to an already fragile hospitality sector
The UK Spirits Alliance (UKSA) has expressed concern over the upcoming rise in alcohol duties which will see them raised 10.1% in accordance with the Retail Price Index.
The new duty will charge suppliers based on the strength of their products meaning that spirit producers could be heavily affected when the change comes into effect on 1 August.
For spirits that have an ABV of over 22% the duty will increase from 20% to 23%.
The UKSA has joined cross-party MPs in stating that the hike will be “actively damaging” to an already fragile hospitality sector.
A spokesperson for UKSA, said: “This tax hike is not just shortsighted, but it is actively damaging to pubs, distilleries and the hospitality sector. With the 10.1% hike in spirits duty, the highest since 1981, the chancellor has failed to reflect the popularity of the diverse modern hospitality industry, driven by the growth in innovative British products such as those created by the small distillers within our membership.
“The chancellor should be doing everything he can to support the British drinks industry, not hiking taxes on consumers and holding back growth.”
Labour MP Charlotte Nichols MP and Conservative MP Sarah Atherton, added: “With duty hikes, on top of everything else happening to businesses right now, gin makers tell us just how worried they are about the future. That’s why we’re calling on politicians across all parties to join us at this difficult time for the industry in backing British spirits makers.”