Response to DEFRA publication of illustrative base fees for packaging Extended Producer Responsibility
Emma McClarkin, CEO of the British Beer and Pub Association, said:
“The beer and pub sector has ambitious net zero targets, and our members are committed to working collaboratively to achieve circular economy goals.
While these estimated fees provide long-overdue clarity, they sharply reinforce our concerns about the eye-watering additional costs brewers will be expected to bear from next year and impact on customers.
These preliminary figures could add up to 7p on each of the 3.2 billion bottles of beer sold in the UK annually, which would mean up to £212m in total. This could be the equivalent of a 21% beer duty increase on these products and inevitably will lead to price increases for consumers.
The British brewing industry is a key part of the UK’s manufacturing base and supports hundreds of thousands of jobs in the country. Not only that, but brewers are leading the way in investing in low strength and alcohol-free variants, supporting public health goal. Despite all of that, it is one of the highest taxed sectors. The Government must recognise the cumulative impact of their packaging reforms at the upcoming Budget and cut beer duty to safeguard Britain’s brewers and ensure the UK remains an attractive place for investment."
NOTES TO EDITORS: These preliminary figures will add between 3p and 7p on each of the 3.2 billion bottles of beer sold in the UK each year or between £84m and £212m in total. This is the equivalent of an 8-21% beer duty increase on these products and inevitably will lead to price increases for consumers.