The alcohol -sold tax in the UK changes from Saturday, with an increase in the identification of inflation, and reduced to service on a draft cake and smuggling on how to impose wine. So what is changing, which drinks will be cheaper and which may cost more?
What is the duty of alcohol?
Taxes are imposed on alcoholic beverages according to their strength, or alcohol depending on size (ABV), expressing it as a percentage of pure alcohol in a product and displayed on the poster.
Under the system that entered into force in August 2023, alcohol fees are imposed on drinks that exceed 1.2 % of ABV, with an increase of the rate of payment against each additional 0.1 % to better enhance public health by inhibiting cheap sale, high -strength drinks .
The tax is usually paid by producers or when drinks are imported, with the cost transfer to the consumer.
What is changing at the end of this week?
From February 1 1.7 % reduction At the duty of a draft drink sold in licensed places with ABV less than 8.5 % is the perpetrator – the equivalent of 1p is less than a liter of medium beer.
The government hopes that this step announced by Chancellor, Rachel Reeves, in its autumn budget will support The hospitality industry is strugglingSince these products represent more than 60 % of the drinks sold in the bars.
Meanwhile, non -criminal alcohol fees will increase by 3.6 % in line with inflation as measured by a retail price index (RPI).
There is also a limit for the temporary period of the temporary “easement” for a period of 18 months for wine, according to which all items range between 11.5 % and 14.5 % of ABV. A flat tax rate of 2.67 pounds-which increases the number of tax teams of wine in this range from one to 30.
Wine taxes are already imposed less than 11.5 % or more than 14.5 % according to force. Now taxes will be imposed on everything according to ABV, with the volume of the bottle fees with a 2p increase per increase of 0.1 %.
What are the prices that rise?
Prices will increase on about 43 % of wine as a result of ending the easement period, according to the analysis of the wine and spiritual trade association. The tax on a bottle of wine with ABV will increase by 14.5 % by 54 pixels. Red wine will be affected more than changes, given the high alcohol content, with the anticipation of industry Prices on 75 % of them to rise Because of the disposal.
The increases may not look like a huge jump, but it will cost the consumer millions next year, according to Sarah Colls, head of personal finance at Hargreaves Lansdown.
“If you take a cup of wine 250 ml at 13 %, you will pay 8p more – 4p of this is the height of the RPI in the service and the 4p is due to the change of the base.
“Eight Pences may not feel that the bank will break, but the changes are expected to cost us 10 million pounds in the next tax year.”
Increasing the fees associated with inflation means that the wine cup by 110 ml by 110 ml will cost 3p more. They will also raise the price of lives, as a bottle of the jinn rises by 32 pixels and a 40 % shot by 1p. While there is a reduction in drafts of gains, this exception does not apply to the bottled beer in apple bottles and juice. The 500ml container of 5 % ABV apple wine will be 1p.
What prices will decrease?
Cabinet Estimates Its change will be changed to the drinks project to reduce the total duty of the hospitality industry by 85 million pounds. For regular pub pioneers, the project to change the fees may lead to modest savings on measures. However, the Pornis may notice any difference because the public may not necessarily transmit savings.
What is the reaction to the changes?
Some organizations praised the move as a positive step by motivating people to consume lower alcohol strength while supporting the bars. Wine sellers have warned their customers that prices may rise and that their choices may diminish.
Michael Keel, CEO of the Laila Times Industry Association, said that the measures “have no meaning to companies that are already compatible under the pressure of increasing costs and taxes,” and do not go away enough to support the hospitality sector in the UK.
