Women hit hardest by UK drink duty hike

23rd April, 2013 by Andy Young

New analysis from the Wine and Spirit Trade Association (WSTA) has found that women will bear the financial brunt as the beer tax cut is wiped out by wine and spirit increases.

Two-women-drinking-wine-002The WSTA’s analysis claims that any financial benefits that pubs might have expected from the cut in beer duty will be lost. The WSTA said that if alcohol sales in the on trade “continue at a similar level to last year, pubs, clubs and bars will be paying almost £34 million extra tax in 2013/14 compared to 2012/13.”

Women can expect to be hardest hit by the price increases as the continued duty escalator on all other alcohol products, apart from beer, will see the tax burden across the entire trade increase by £292m.

WSTA chief executive Miles Beale said: “The Chancellor aimed to support pubs with a tax cut for beer in the Budget, but the fact is that his tax rises of over 5% on wines and spirits will wipe out the tax cut for beer and add another £34m to the tax bill for the on trade. We are concerned that women look set to be penalised by wine and spirit price increases across the board, simply because they make different choices about what to drink.”

The analysis claims that as a result of the price increases women will be paying out £65m more than men, around 61% of the total bill. Figures show that 63% of what women drink is wine, compared to 33% for men. Women also drink more spirits than men, 22% compared to 13%. In comparison, 51% of what men drink is lager or ale­ while this figure sits at 8% for women.

Mr Beale added: “With wine and spirits now accounting for 41% of the value of products sold in the on-trade, the only way the Chancellor can genuinely help pubs is to scrap the hated duty escalator for wine and spirits too.”

The WSTA adds that since the introduction of the duty escalator, by former chancellor Alistair Darling in 2008, wine duty has increased by 50% and spirits duty by 44% – adding an additional 67p to a bottle of wine and £2.38 to a 70cl bottle of vodka.

Last month the drinks business revealed the “Treasury smokescreen” from the cut in beer duty, as next year’s inflationary duty increase will see the chancellor recoup what he has “given away” in this year’s Budget.

One Response to “Women hit hardest by UK drink duty hike”

  1. frank meaker says:

    Bad news

Leave a Reply

Your email address will not be published. Required fields are marked *

Subscribe to our newsletters

Job vacancies

Administrative Assistant

Swig Wines Ltd
Chiswick, London, UK

HR Manager

Amathus Drinks PLC
London, UK

Beer Development Specialist

Matthew Clark
London, UK

Senior Sales Manager

Haynes Hanson & Clark
Gloucestershire, GB

Customer Services Administrator

Speciality Drinks Ltd
London, UK

National Business Development Manager

Speciality Drinks Group
London, UK

Inventory Analyst

Bibendum PLB
London, UK

Events Executive - Atom Supplies

ATOM Supplies Limited
London, UK

Off-Trade Sales Account Executive

Domaine Direct
Nationwide, working from a combination of home & London office.

Sales Executive/Brand Ambassador

Glenfarclas
Ballindalloch, Speyside, UK

Client Manager

Noble Rot
Wandsworth, London, GB

Spirits Investment Director

Stilnovisti
London, UK

Junior Brand Manager

Enotria Winecellars
Park Royal, London, UK

Content & Digital Assistant

ABVGlobal
London, UK

Sales Manager

Cellar Trends
London, UK

Champagne Masters 2017

Deadline : 7th July 2017

The Global Sparkling Masters 2017

Deadline : 10th July 2017

The Global Malbec Masters 2017

Deadline : 10th July 2017

The Global Syrah Masters 2017

Deadline : 18th July 2017

Click to view more

The Drinks Business Awards 2017

Now in its 15th year, the db awards have become the most authoritative, internationally respected badge of achievement in the alcoholic drinks industry.

The Asian Cabernet Sauvignon Masters 2017

the drinks business Hong Kong announces its first year of The Asian Cabernet Sauvignon Masters.

Rioja Masters 2016

Now in its fifth year, the competition will recognise and reward the finest Riojas on the world stage.

Fortified Masters 2016

Now in its third year, The Fortified Masters will reward the best fortified wines on offer.

Click to view more