SWA makes final 2017 push for excise cut
The Scotch Whisky Association (SWA) has made a final call for a 2% cut to spirits excise in the UK’s 2017 Budget.
The SWA is making a final plea to the UK government to cut spirits excise in its 2017 BudgetThe Budget, due to be announced on Wednesday [8 March], sets out the government’s plans for its 2017/18 fiscal year.
Under the banner of its Standing up for Scotch campaign, the SWA is arguing that the average 77% tax on Scotch whisky should be cut to raise public funds, protect jobs and provide “fairer: pricing for consumers.
According to the SWA, the Scotch whisky industry supports more than 40,000 jobs and generates £5 billion (US$6.1bn) for the economy each year.
In addition, the industry is the largest net contributor to the UK’s balance of trade in goods, the trade association argues.
“A 2% cut in excise duty on Scotch whisky in the Budget is likely to boost the public purse, based on the government’s own figures,” said Julie Hesketh-Laird, SWA acting chief executive
“It would also increase confidence in the UK market for Scotch which is starting to grow again and give welcome relief to consumers paying 77% tax on an average priced bottle of Scotch.
“A fairer and more competitive domestic tax regime is essential to providing a platform for future growth in the context of Brexit. On Wednesday, the Chancellor has the opportunity to demonstrate his support for a strategically important industry, underpinning jobs in Scotland and across our UK wide supply chain.”
Spirits excise was frozen in the 2016 Budget statement, following a historic cut of 2% in 2015.
HM Revenue & Customs figures show that revenue from spirits duty increased by 4.2%, or £132 million (US$161.7m), to £3.25bn (US$3.98nm) as a result in 2016.
