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Australians faced with $15 pints after biggest tax hike in three decades

02 August 2022 By Christian Smith

The Australian Tax Office announced Monday that the excise on beer would be raised by 4%, leaving the price of a pint in Australia at the $15 (£8.60) mark in the pub.

Price of a pint Australia - a barman pulls a pint of beer

The move, according to a report from the Wine Economics Research Centre at the University of Adelaide, comes as Australia already has the fourth-highest beer tax in the world, behind Norway, Japan and Finland.

The Brewers Association of Australia said the excise lift was the biggest in 30 years, even among the many increases in the nation’s beer tax over the last decade.

“We have seen almost 20 increases in Australia’s beer tax over the past decade alone,” CEO John Preston said.

“Sadly, we’re now seeing the impact as pub patrons will soon be faced with the prospect of regularly paying around $15 for a pint at their local.

“For a small pub, club or other venue the latest tax hike will mean an increase of more than $2,700 a year in their tax bill – at a time when they are still struggling to deal with the ongoing impacts of the pandemic.”

As the Wine Economics Research Centre report notes, Australia’s beer tax rates are adjusted twice each year in line with inflation – in February and August. Inflation is currently soaring, and it is not expected to peak until the end of the year.

Australian wine is taxed under a separate system, though the latest stats from Wine Australia show the effects of Chinese tariffs on Australian exports.

Australian wine has seen AUD$2.08 billion wiped off the value of exports, largely driven by he significant reduction in exports to mainland China. You can read more on the effects of the China tariffs on Australian wine exports here.