#BackSpirits
The renaissance in the UK spirits sector in recent years has been underpinned by the industry’s investment in innovation.
However, the sector was devastatingly hit by the Conservative government’s 10.1% spirits duty rise in August 2023. The tax rise led to alcohol’s biggest ever contribution to inflation and resulted in a £298 million loss and counting, according to the Government’s own alcohol duty receipts. On top of this, spirits exports declined to £6.8 billion in 2023.
The duty system currently discriminates against the spirits sector, with spirits taxed higher per unit of alcohol than any other category – 16% more than wine (the vast majority of which is imported); and 256% more than cider.
We urge the Government to:
1. Ensure the duty regime is consistent and fair
2. Cut Spirits Duty to support the sector AND increase income for the Treasury
3. #BackSpirits
With the upcoming Budget, it is vital that the Chancellor cuts spirits duty.
It’s time to press rewind on this devastating tax
The Chancellor has the power to re-energise this sector and support smaller and medium sized businesses up and down the country. With the upcoming Budget, it is vital that the Chancellor rewinds the tax, creates equality amongst different categories such as beer and wine and cuts the tax – not just for the benefit of distillers and pubs across the country – but so that she can increase how much the Treasury can earn in sales receipts. If not, the Chancellor will continue to preside over a Conservative policy that continues to lose money.
UK Spirits are worth
to the economy
We have supported over
jobs directly in the UK spirits industry
We have supported over
jobs in the industry across the UK
Spirits revenue has grown by
in the UK over the last five years
HM Treasury has lost
since the duty rise in August 2023