Question to the HM Treasury:

To ask the Chancellor of the Exchequer, if she will make an assessment of the potential impact of introducing an alcohol duty (a) exemption and (b) reduction for drinks that have a 15% or weaker alcohol by volume on community third places.

Pubs and breweries make an enormous contribution to our economy and society, and this is recognised in the tax system.

The current alcohol duty system supports pubs and breweries through Draught Relief, which ensures eligible products served on draught pay less duty. Draught Relief helps to level the playing field between pubs and supermarkets, allowing pubs and brewers to price their on-trade products more competitively.

The Government is closely monitoring the impact of the recent reforms and rates that took effect on 1 August 2023. As with all taxes, the Government keeps the alcohol duty system under review during its Budget process.