Distillers ‘Raise A Glass’ and Breathe a Sigh of Relief as British Treasury Chancellor Freezes Booze Tax

Distillers can raise a glass to the British Treasury Chancellor, Jeremy Hunt for freezing the duty tax. (Photo: Paul Zinken/picture-alliance/dpa/AP Images)

On Wednesday, The Daily Mail reported that the British Treasury Chancellor implemented a freeze on the beer, liquor and scotch duty that has led to a lot of uncertainty amongst those in the spirits industry. The information was released in his Autumn Statement.

“Today we raise a glass to the Chancellor and the Prime Minister, who have listened to the industry’s plea of support and decided to back our homegrown sector, that employs so many people across the U.K.,” Diageo Great Britain Managing Director Nuno Teles said, according to the Daily Mail. “Drinkers and pub-goers across the country now have even more reason to celebrate this festive season. Cheers Chancellor.”

Many working the United Kingdom’s liquor and hospitality sectors have battled inflation and a cost-of-living crisis. If a second duty rise were to hit the alcohol industry, it could have been “disastrous,” according to the chief executive of the Wine and Spirit Trade Association, Miles Beale.

Several open letters were penned to the chancellor in the summer and fall from the U.K. Spirits Alliance, the Scotch Whisky Association and other spirits businesses.

Those within the industry can breathe a sigh of relief, at least for a little while.

“As well as confirming out Brexit Pubs Guarantee, which means duty on a pint is always lower than in the shops, I have decided to freeze all alcohol duty until August 1 next year,” Hunt said in a statement. “That means no increase in duty on beer, cider, wine or spirits.”

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