August tax hike leaves wine industry with sour taste

WINE lovers will be taxed 20 per cent more on their favourite bottle of red or white in a month’s time, as the government steams ahead with its alcohol duty tax hikes, spelling further pain for customers and businesses.

Chancellor Jeremy Hunt announced the measures as part of the Spring Budget back in March, which saw an end to the blanket alcohol duty freeze which was put in place via the Autumn Budget 2020 during the pandemic and extended in December.

It will now come to an end on 1 August, and alcohol will be taxed by strength (ABV). The duty hikes will bring price rises for 90 per cent of wines sold in the UK, according to wine and spirit trade association WSTA.