Cut in alcohol duty ‘will boost public finances’

Scotch whisky distillers are calling on Chancellor George Osborne to cut duty on alcoholic drinks in his next Budget and will today publish a report claiming that the move could make the Treasury money.

The Scotch Whisky Association wants to see duty cut. Picture: PA

The Scotch Whisky Association has teamed up with Wine and Spirit Trade Association to launch a “Drop the Duty!” campaign calling for a 2 per cent cut in the tax, which can total 80 per cent on a bottle of malt.

According to analysis by accountants at EY, the cut could give a £1.5 billion boost to the public finances in 2015 through increased investment across the industry; greater tax income from corporation tax and VAT; and from the benefits of jobs created in pubs, bars, restaurants, shops and the supply chain.

David Frost, SWA chief executive, said: “Lowering these draconian levels of excise duty would actually boost public finances.”

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