THE LEADING PUBLICATION FOR THE HOSPITALITY SECTOR & LICENSED TRADE Issue 168
Scrap Alcohol Tax Hikes- Help Bring Down Inflation Sector Urges www.CLHNews.co.uk
Wine and spirit businesses are calling on Government to scrap duty hikes and avoid prohibitive price rises, which will further fuel inflation. On 1 August 2023, the Alcohol Duty system will change, taxing all alcoholic drinks based on their alcohol by volume (ABV), and replaces the current Alcohol Duty system, which consists of four separate taxes covering beer, cider, spirits, wine and made-wine. It will, the government says, make the system fairer and responsive to new products entering the market as consumer tastes evolve. However, with the Government’s fiscal policies failing to control inflation, the
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Government is set, The Wine and Spirit Trade Association (W&STA) says, to make matters worse with wine duty set to increase by 20% and spirits duty by over 10%. Instead of doing all it can to bring down inflation, the Treasury is, says the W&STA ploughing ahead with plans to introduce the biggest single alcohol duty increases in almost 50 years, further exacerbating the cost-of-living crisis at a time when interest rates are at their highest since 2008.
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