Alcoholic Drinks: Excise Duties

(asked on 28th February 2022) - View Source

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what comparative assessment he has made of the potential implications for his policies of the way his Department's plans to tax alcohol by product strength with the guidance of the Chief Medical Officer which does not make a distinction in how units of alcohol are consumed in respect of responsible drinking.


Answered by
Helen Whately Portrait
Helen Whately
Minister of State (Department of Health and Social Care)
This question was answered on 3rd March 2022
The Government intends to move to a new progressive system of duty that taxes all products in reference to the litres of pure alcohol they contain, with products with higher concentration of alcohol paying a higher rate of duty per unit. As part of this approach, the Government is cutting duty on lower ABV spirits-based drinks, such as pre-packaged gin and tonics, and is increasing duty on higher ABV products, such as strong ‘white’ cider and fortified wine.

The Government received evidence supporting this approach during its call for evidence held in 2020. As set out in the summary of responses published in October 2021, public health groups cited the correlation between cheap, high strength spirits (such as vodka) and alcohol-related harms, as the volume of drink needed to reach intoxication is smaller with higher strength drinks. The Government is therefore addressing these concerns.
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