Summary
A gin maker in the UK is worried about a possible increase in tax on spirits in the upcoming Budget. The concern arises as previous tax hikes and rising production costs are already putting pressure on the business. A parliamentary group is advocating for a freeze on the tax to help the spirits industry.
Key Facts
- The gin company is concerned about a potential tax increase on spirits in the upcoming Budget.
- In August 2023, the Conservative government raised excise duty on spirits by over 10%.
- The Labour government increased the excise duty by another 3.65% in 2024.
- Excise duty makes up about 70% of the price of an average bottle of spirits in the UK.
- The parliamentary group on UK Spirits wants the tax frozen to support the industry.
- The number of distilleries in the UK has tripled over the last seven years.
- The cost of living crisis is affecting how much people can pay for spirits.
- Beer taxes have been frozen or reduced over the last 12 Budgets, which some see as unfair compared to spirit taxes.
