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UK Beer Duty Hike: Pubs Face More Pain
1 Feb
Summary
- Beer duty is set to increase by 3.7 percent from today.
- Three UK breweries are closing weekly, according to SIBA.
- Brewers face an additional £130 million in annual costs.
The British beer industry is facing increased financial strain as alcohol duty on draught beer rises by 3.7 percent starting today. This marks the first increase since 2017 and is projected to add £130 million in annual costs for brewers. Industry representatives are calling for a reduction in this levy, arguing it stifles business growth and job creation.
Support for pubs and breweries remains a critical issue, with the Small Independent Brewers Association noting that three such businesses have closed weekly over the past year. Calls for an overhaul of the business rates system, alongside reduced alcohol duty, are being made to alleviate pressure on the sector. Industry leaders caution that these rising costs will likely lead to increased prices for consumers.
