More Tax Hikes For Whisky Industry In UK Budget

by Robin Pilgrim, LawAndTax-News.com, London

24 April 2009

The 2% duty rise on whisky announced in the 2009 Budget has been slammed by Westminster Scottish National Party (SNP) Leader Angus Robertson, whose Moray constituency produces more than half of all Scotch malt whisky.

Mr Robertson, the Vice-Chairman of the All-Party Parliamentary Scotch Whisky Industry Group, said of the changes:

"Yet again the UK Government is treating the whisky industry as a cash cow. Only last year Labour Ministers announced record 17% in duty hikes, and now the pain continues. The whisky sector is one of the country’s key industries and it is a disgrace that the UK Treasury is treating it so badly."

The latest news on alcohol rates has come just weeks after the Scottish government secured rapid progress on the issue of better legal protection for Scotch whisky in China, which aims to secure Geographic Indication of Origin Status for Scotch Whisky in China.

Securing Geographic Indication of Origin Status has been a vital issue for the industry, and the progress between the Scottish and Chinese governments presents important commercial opportunities for Scotland.

The duty rises announced in the budget are equivalent to:

• 13 pence on a 70cl bottle of spirits;
• 1 pence on a pint of beer;
• 1 pence on a litre of still cider;
• 4 pence on a 75cl bottle of sparkling cider;
• 4 pence on a 75cl bottle of wine/made wine; and
• 5 pence on a 75cl bottle of sparkling wine.

Recommended