UK: SWA calls for change to retrograde tax as spirits and wine drive HMRC revenue

Published 2023년 5월 23일

Tridge summary

The Scotch Whisky Association (SWA) is urging the UK government to review its tax system after data showed a significant rise in revenue from spirits and wine duty. Spirits have driven a 40% growth in alcohol revenue from excise duty to the government, while beer and cider have seen much smaller increases. The SWA has criticized the government's decision to increase duty on whisky and other spirits by 10.1%, arguing that it should be supporting the Scotch whisky industry, which has contributed significantly to government revenue. The tax gap between spirits and other alcohol categories has also widened since 2019, with tax breaks extended for draught products in pubs, bars, and restaurants in the Budget, but these breaks exclude 99% of distillers.
Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The Scotch Whisky Association (SWA) has called for the UK Government to change its tax system, following spirits and wine duty revenue driving a big rise in revenue for HMRC. In the past decade, official HMRC figures have shown that spirits have driven a 40% growth in alcohol revenue from excise duty to government coffers, rising from £3bn in 2013 to £4.1bn last year. Wine has also grown significantly, up 25%, from £3.7bn to £4.4bn in the same period. But beer has only risen by 7% and cider has fallen by 28%. The figures come with cider having the same tax treatment as spirits with beer given one additional freeze in duty than spirits. As a result, spirits account for a third of all alcohol revenue for HMRC, up 4% as an overall share from 2013. The SWA have now called for a change in the tax system and questioned the decision to increase duty on whisky and other spirits by 10.1% from August but offer tax breaks to the beer and cider industry. Speaking about the figures, chief ...

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