Scotch Whisky industry welcomes excise duty freeze, but says more support needed
22 Nov 2017
Scotch Whisky industry welcomes excise duty freeze, but
says more support needed
The Scotch Whisky Association (SWA) welcomes the UK Government's
decision to freeze excise duty on spirits in today's Budget, which
helps support the competitiveness of Scotch Whisky.
The freeze is a show of support for a major UK manufacturing
industry and its supply chain, and for the 40,000 jobs Scotch
Whisky supports across the UK.
However, a cut would have provided a bigger boost for consumers,
the industry and public finances. Plus, the industry's
competitiveness would have been boosted, which is vital as it turns
the challenges of Brexit into opportunities.
As a result of today's freeze, tax - VAT and excise duty - on an
average priced bottle of Scotch Whisky in the UK remains at 80%.
This means more than £10 on a bottle goes straight to the
Karen Betts, Scotch Whisky Association chief executive, said: "We
welcome the freeze in excise duty on spirits, which helps support
the competitiveness of Scotch - a major UK export - in uncertain
times. My thanks go to all MPs and MSPs who have supported Scotch
and helped convince the Chancellor that a second duty rise in 2017
would have hurt the industry and consumers.
"But tax on Scotch is still very high. £4 in every £5 spent on
Scotch goes to the Treasury, and we believe this is a missed
opportunity. We believe a cut would have delivered more
revenues to the government as well as underscoring government
support for an important UK manufacturing industry, which supports
40,000 jobs across the UK."
Notes to editors:
An average priced bottle of Scotch Whisky is £12.77. Of this
total, excise duty is £8.05, VAT is £2.13, making total tax £10.18,
while the margin left for packaging, marketing, logistics and
administration is £2.59.
With media queries please contact SWA head of communications
Rosemary Gallagher, 0131 222 9230/07432 605385.