Beer duty

Beer duty is the tax on producing and selling beer. The UK has one of the highest rates of duty in the world and the current rate is 12 times higher than that in Germany. Tax increases put jobs and investment in the industry at risk and this is why we campaign for the rate to be reduced in line with other major brewing nations.

  • BBPA welcomes Small Brewer Relief changes

    30 November 2021

    Trade association says changes, combined with Alcohol Duty Review proposals, are a positive move forwards The British Beer & Pub Association (BBPA), the leading trade association representing brewers and pubs, has today welcomed the Government’s proposals to improve the current structure of Small Brewer Relief (SBR) to more closely align with economies of scale and remove barriers to growth. The trade association hopes that the measures announced today, combined with the recent proposals set out in the wider Alcohol Duty Review, will build on the successes of SBR, whilst addressing the long standing distortions caused by the current structure.   A British Beer & Pub Association spokesperson said: “We welcome these changes to Small Brewer Relief, a scheme which provides a major boost to the UK’s small brewers. The proposals seek to more closely align with economies of scale and will address barriers to growth. “Combined with the recent duty freeze and proposals set out in the new Alcohol Duty Review, we hope this will now stimulate business growth and investment in Britain’s brewers of all sizes at a crucial time in their recovery post-covid.”

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  • BBPA meets with HM Treasury ahead of Budget

    18 October 2021

    Trade association makes case for cutting Beer Duty, Business Rates and VAT so sector can lead levelling up agenda The British Beer & Pub Association (BBPA) has today met with HM Treasury officials to make representations for the brewing and pub sector ahead of the Budget on October 27th. In its meeting with HM Treasury, the BBPA highlighted the vital role pubs and brewing play in supporting over 900,000 jobs in communities across the UK and contributing £26 billion to the UK economy across towns, villages and cities. It made the case that if the Government is serious about Building Back Better and Levelling up, it must invest in pubs and brewers who have a leading role to play in the recovery as they come through the pandemic and continue their world-leading status. To achieve this, the BBPA underlined in the meeting the importance of co-investment from Government in the sector in the form of a fairer tax burden and more level playing field with other European nations post-Brexit. It made the case for its three key Budget asks: cutting beer duty overall, extending business rates relief and permanently lowering VAT for all food and drink sold in pubs. In concluding the meeting, it emphasised with HM Treasury officials that investment from the Government will enable the beer and pub sector to drive a jobs-rich recovery, whilst ensuring a pint in a pub remains an affordable pleasure.   Emma McClarkin, Chief Executive of the British Beer & Pub Association, said: “As we count down the days to the Budget, it was very productive holding a meeting with HM Treasury to further make the case for investment in our sector in the form of fairer taxation. “Investing in our brewers and pubs is investing in our communities and society to build back better. In return we will create jobs, boost the local economy and help our communities reconnect and unite again. “If the Government is serious about levelling up, it must get serious about reducing the tax burdens on our sector.”

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