🍷🍺 Brace yourselves, UK drinkers! Just as Dry January ends, the price of your favourite tipple has gone up, thanks to a new excise duty. With a 3.66% rise in alcohol duty, those hard-earned pints and glasses of wine are going to cost a tad more. The new system, introduced last August, calculates taxes based on the strength and category of alcohol, affecting everything from beer to spirits.
Industry leaders are groaning under the weight of these changes, warning that there’s no other choice but to pass on the costs to consumers. In the latest autumn budget, alcohol duties were aligned with RPI inflation, despite calls for a freeze. Since the recent regime began, the tax increase is particularly hitting wines and spirits, with a typical bottle of gin up by 38p and Scotch whisky by 39p. Even red wine hasn’t escaped, adding an extra 14p.
This comes as a shock for many, especially with the UK already ranking high in alcohol duties compared to the EU. Beer brands have been trying to cut costs by reducing alcohol content, but for pubs and brewers, it’s the first duty rise since 2017. This puts even more pressure on the hospitality industry, which is battling price challenges on multiple fronts.
Comments from industry bosses highlight the strain: Emma McClarkin from the British Beer and Pub Association notes the risk to a beloved UK industry, while Miles Beale from the WSTA fears red tape and rising costs. There’s a plea to the Treasury for relief, but their focus is on maintaining fair public finances.
💼 So, will these price hikes dampen your spirits? Or do you think it’s a necessary step to fortify public services? Let us know your thoughts! 🍻 #PriceHike #AlcoholDuty #UKFoodAndDrink