WSTA says Budget tax rise on alcohol brings more misery
The WSTA warns today’s 5.1% increase in alcohol duty brings further unwanted price rises for consumers and threatens to cause more job losses in the drinks industry in the year ahead.
Today’s Budget rise means taxes on wine and spirits have risen by over 25% and 20% respectively since March 2008. Since 1997 the Government has taken an extra £4 billion from consumers in alcohol taxes.
The effect of the tax on a typical item in pence is as follows:
• 10 pence on a 75cl bottle of wine
• 36 pence on a 70cl bottle of spirits
• 2 pence on a pint of beer
The Chancellor went ahead with the tax escalator which automatically increases tax on alcohol by two percentage points above inflation.
WSTA Chief Executive Jeremy Beadles said:
“Successive punitive tax rises on alcohol are taking their toll on household budgets and mean further job losses in the drinks industry are on the cards this year.
“The last year alone has seen business closures and 30,000 job losses and today’s Budget means higher prices for consumers and more misery in a sector that ought to be part of Britain’s economic recovery.”
Ends
Notes to editors
The WSTA is the UK organisation for the wine and spirit industry representing over 320 companies producing, importing, transporting and selling wines and spirits.
We campaign to promote the industry’s interests with governments at home and abroad.
We work with our members to promote the responsible production, marketing and sale of alcohol.
For more information please contact Gavin Partington:
Tel: +44 (0) 20 7089 3876
Mob: +44 (0) 7966 014058
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.
