Issue 128
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Alcohol Duty Increases Cancelled As Chancellor Unveils "Growth Plans"
The government is to cancel the proposed alcohol duty increase for wine, beer and spirits, Chancellor Kwasi Kwarteng told the House of Commons at today’s (23 September) Mini Budget. "I have listened to industry concerns about the ongoing reforms. I will therefore introduce an 18-month transitional measure for wine duty. I will also extend draught relief to cover smaller kegs of 20 litres and above, to help smaller breweries," he said.
He added: "At this difficult time, we are not going to let alcohol duty rates rise in line with RPI. So, I can announce that the planned increases in the duty rates for beer, for cider, for wine, and for spirits will all be cancelled." In a separate report published alongside the speech, the government announced that it will also be freezing the alcohol duty rates from 1 February 2023 for one year to provide additional support to the sector.
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