New system of alcohol taxation needed as quickly as possible to give pubs and breweries a boost: CAMRA

Responding to the announcement from the Treasury today that decisions on when and how to introduce changes to the way alcohol is taxed – including a lower rate of duty for draught beer and cider designed to help pubs and social clubs compete with the likes of supermarkets – will not be made until the Autumn, CAMRA Chief Executive Tom Stainer said: 

“With the beer and pubs sector continuing to be hit hard by rising prices, spiraling energy costs and the knock-on effects of a dip in consumer confidence and spending it is clear that our locals – and the great breweries and cider producers that serve them – need more help from the Government if they are to survive and thrive in the coming months and years. 

“That’s why introducing the new system of alcohol taxation designed to give pubs, social clubs and taprooms support through a new preferential rate of duty charged on beer and cider served on draught compared to the likes of supermarket alcohol is so important.  

“We were also expecting important details to be announced on the replacement for the Small Brewers Relief scheme, meaning more uncertainty for small brewers feeling the burden of the cost of business crisis much more acutely than their globally-owned counterparts. 

“CAMRA welcomed the Government’s commitment to this new way of taxing beer and cider but we are now calling on the Treasury to bring forward firm plans on how this will work in practice and announce when it will be introduced as quickly as possible to give our pubs the helping hand they desperately need. 

“In the meantime, through our Summer of Pub campaign, we are continuing to urge people to support their locals as much as possible, as well as calling on the Government for extra support for pubs and breweries through a VAT cut for food and drink served in pubs, extending business rates relief and offering businesses help with rising energy costs.” 

Ends 

Notes to editors: 

The decision was announced in a written Parliamentary statement by Financial Secretary to the Treasury Lucy Frazer MP, which is available here: Written statements – Written questions, answers and statements – UK Parliament 

The Financial Secretary to the Treasury states: 

“At Autumn Budget 2021, the Government’s plans for alcohol duty reform were announced and a consultation on the detail of those planned reforms was published. The consultation closed on 30 January 2022. The Government is considering the feedback received and will respond in the Autumn.”