English Wine Production

Edward Morello Excerpts

Wednesday 25th June 2025 Westminster Hall

[Katie Lam]

I will discuss later in my speech what support I think would be appropriate, so my hon. Friend will hear my thoughts on that in due course.

I am incredibly proud that the Weald of Kent boasts some of the best vineyards and wineries in the country. Across the nation, 4,200 hectares of land are under vine—more than double the area just a decade ago. It is no coincidence that even French producers are quickly buying up land in southern England. They recognise the opportunity here, and so should we.

Our English vineyards are not centuries-old family estates, handed down through the generations, like on the continent. They are new businesses, built on entrepreneurial risk, with eyewatering start-up costs, and land that is among the most expensive in Europe. The vineyards springing up in Kent, Surrey, Sussex, Hampshire and beyond are often founded by families who have risked everything: buying land at a premium, planting vines in an uncertain climate—that we all experience—and investing in years of training, equipment and marketing before even a single bottle is sold. Many vineyards are warning that rising national insurance contributions, and the recent increase to minimum wage payments, have left them unable to reinvest in their businesses.

[Edward Morello (West Dorset) (LD)]

I congratulate the hon. Lady on securing this debate during English Wine Week. I could not allow her to list the places where we produce wine without mentioning beautiful West Dorset, which has 11 small wine producers, many of whom have been in touch with me about what this Parliament can do to help small producers in England. Dorset Downs Vineyard suggested that draught relief and small producer relief could be raised from 8.5% to 14% because most English wine sits between the 11% to 14% marks. Currently, beer and cider produced locally get all the benefit, but English wine producers do not. Does she agree with that suggestion?

[Katie Lam]

That is a similar point to the one made by my hon. Friend the Member for Bridgwater (Sir Ashley Fox). It is not uncommon for vineyards and wineries to produce both types of drinks, and so have to operate under two different duty systems, which is also additional bureaucracy. I think that change would make a substantial difference.

Our producers represent the future of winemaking. They certainly should not be hindered by rising costs. We need long-term policies that will support their continued growth. WineGB estimates that there are 16 million potential visitors to the UK wine tourism sector: a huge untapped market. In my constituency, the excellent Chapel Down welcomes over 60,000 visitors a year for winery tours. It continues to be a major contributor to our local economy, and that is just the beginning. Producers such as Gusbourne, Westwell, Biddenden, Balfour, Dingleden, Ham Street, Warehorne, Woodchurch, and Domaine Evremond all play a part. We are so fortunate in the Weald that I could not even attempt to name them all in the time I have in this debate. It is, of course, a tremendous chore to visit them all, but my commitment to public service remains unwavering.

Many vineyards now make up to 50% of their sales directly to consumers, in so-called “cellar door sales”. That is often the only way for small producers to avoid the razor-thin margins created by intermediaries, excise duties and distributor fees. The potential is enormous. Wine tourism helps to create skilled jobs in rural constituencies like mine. It supports regional identity and allows producers to build a direct relationship with their customers. A targeted duty relief on direct-to-consumer or tourist cellar door sales would help wine producers, in the way that beer and cider receive help from draught relief and small producer relief, as we have heard from hon. Members in this debate.

Will the Government consider implementing a wine tourism relief, to recognise this youthful industry’s potential and give small producers the boost they need to truly thrive? More broadly, visits to UK vineyards and wineries were up more than half in just two years. That is extraordinary growth by any measure. What plans does the Minister have to support one of the few industries in the UK that is demonstrably expanding, creating rural jobs, driving tourism and building our export potential from the ground up?

If we are serious about backing British agriculture and business, this is exactly the kind of sector that deserves targeted support. Yet, as is too often the case in the UK today, the more businesses grow, the more they seem to be penalised by heavy-handed regulation. Take the extended producer responsibility—EPR—scheme, which affects businesses, including winemakers with a turnover of £1 million or more—a threshold that many of our leading vineyards are proudly surpassing. That success comes at a cost. EPR imposes disproportionately high fees on glass packaging, but glass is the only viable material for sparkling wine. On top of all that, winemakers now face hours of additional paperwork collecting data on the type and weight of materials used, simply to remain compliant with opaque packaging rules.

That is not the only example of over-regulation choking the industry. The previously flat wine duty has now been replaced by 30 different rates based on tiny, 0.1% increments of alcohol content. In the context of wine, that makes no practical sense. As has already been pointed out in the House by the hon. Member for Wimbledon (Mr Kohler), ABV varies naturally by vintage and by vat. It is hugely difficult to predict and the system causes confusion, not clarity. Although I accept that the Minister did not create that system, will he take the opportunity to outline what steps the Government might take to ensure that our wine producers can spend more of their time tending their vines, rather than filling out forms?

While the previous Government may have implemented some regulations that caused challenges to wine producers, they recognised the need for active investment in the UK wine industry. I was pleased to see them establish the future winemakers’ scheme, with £1.5 million set aside for training opportunities for the next generation of viticulturists. Will the Minister recommit to the scheme today, ensuring that the UK wine industry secures the future talent it needs to reach its full potential?

Though welcome, deregulation and training schemes alone are not enough. If we allow the definition of English wine to be blurred or co-opted, the industry risks dying on the vine. There is serious concern among winemakers that third-country producers could ship foreign-made still wine in bulk to the UK, carbonate or transform the product here, and market it in a way that implies it was locally made. That would be misleading to consumers, would undermine the integrity of the English wine label, and would make a mockery of the investment our producers have made in their land, climate and local communities.

I want to press the Minister on a simple point: will he commit to ensuring, particularly as the Government restart their third round of post-Brexit wine industry reforms, that wines sold as British or English must be made exclusively from British-grown grapes? He knows as well as I do that the majority of UK wine is sparkling. I am sure he would agree that English wine deserves the same protected designation of origin—PDO status—that champagne and prosecco receive in their respective markets.

There are few products that bring together so many public goods: rural jobs, tourism, export potential, environmental stewardship and national pride. English wine is not a nostalgia project or a romantic curiosity; it is a viable, growing industry—one that sits at the intersection of agriculture, manufacturing, hospitality and culture. To support this fantastic product is to invest in our countryside and our brand as a country. We have the chance, as English Wine Week says, to “Create new traditions.” I ask the Minister to seize that opportunity: let us support wine tourism and, above all, ensure that the label “English wine” means what it says—wine made from English grapes on English soil.