The Wine & Spirit Trade Association has calculated the impact of today’s Budget on the price of wine and spirits.
‘It is disappointing that the Chancellor has failed to support a great British industry’, said Miles Beale, WSTA chief executive. ‘He has increased what were already excessive and unfairly high rates of duty for the UK’s wine and spirit consumers and businesses.’
He added: ‘At least there is some sign that Philip Hammond cares about levelling the playing field. It is important that he treated all alcohol products equally. It is welcome news that he has introduced a consultation on wine and made wine between 5 – 8.5% a category which holds a great deal of potential for innovation, especially for lower abv products.’
The Government has said it will introduce a consultation on a new duty band for still wine and made wine between 5.5% and 8.5% abv.
The revised rates are due to come into effect after midnight, 12 March.
- Duty on a 750ml bottle of wine increases by 8p to £2.16
- Duty on a 750ml bottle of sparkling increases by 10p to £2.77
- Duty on a 750ml bottle of fortified wine increases by 11p to £2.89
- Duty on a 70cl bottle of vodka at 37.5% increases by 28p to £7.54
- Duty on a litre bottle of vodka at 37.5% increases by 40p to £10.78
- Duty on a 70cl bottle of gin at 40% increases by 30p to £8.05
- Duty on a litre bottle of gin at 40% increases by 43p to £11.50
The rate of inflation is 3.9%. This is calculated by using the RPI estimate for September 2017 provided by the Office of Budget Responsibility.