Thursday, 21 March 2013


A planned 3p rise in beer duty has been scrapped and replaced by a 1p cut in the price of a pint.

In yesterday's budget, Chancellor George Osborne said the alcohol duty escalator - which adds inflation plus 2% to the price - would be abolished for beer completely.

The brewing industry and real ale drinkers' group CAMRA welcomed the news as "brilliant" and "momentous".

The reduction in the beer price starts from Sunday "and I expect it to be passed on in full to customers", Osborne said.  He noted that 10,000 pubs had closed in the last 10 years and that the industry needed support.

The brewing industry had campaigned strongly for a freeze in duty. "But I'm going to go one step further," Mr Osborne said. "We're taking a penny off a pint... All other duties will remain as previously announced."

The beer escalator was due to run until 2014-15. About £1 of the price of a pint is taken in VAT and excise duty, and prices are also rising because of the increasing cost of raw materials and energy used in brewing.
Mike Benner, chief executive of the Campaign for Real Ale (CAMRA), said: "This is a momentous day for Britain's beer drinkers, who will tonight be raising a glass to the chancellor for axing this damaging tax escalator and helping keep pub-going affordable for hard-pressed consumers.
Since the duty escalator was introduced in 2008, 5,800 pubs have been forced to call last orders for good. What could have been the final nail in the coffin for our pubs has been decisively avoided by the chancellor in a move that will spark celebration in pubs across the UK."

CAMRA gathered more than 100,000 names on a petition last December calling for a freeze on duty, which led to a parliamentary debate. The group estimated that beer taxes had risen 42% since 2008.

Doctor's Orders
351 Mansfield Road


No comments:

Post a Comment

Note: only a member of this blog may post a comment.