WSTA hits out at UK festive tax spend

The average UK family spent over twice as much on tax for their Christmas drinks than in France, according to estimates tallied by the Wine and Spirit Trade Association (WSTA).

Miles Beale, Chief Executive, Wine and Spirit Trade Association (left) and David Frost, Chief Executive, Scotch Whisky Association (right) launching the “Drop the Duty!” campaign in December (Photo: WSTA)

The amount taken in tax from the UK’s festive alcohol shop was over 50% this year – a staggering sum compared to the 30% rate available across the channel in France – which meant a large difference in overall costs for British shoppers.

For what the WSTA sees as an average family alcohol spend of £171.08 over the festive period, £90.44 of this is tax. This compares to the much cheaper £128.58 that they estimate as an average in France, with only £38.65 of this going to government coffers.

The figures were based on the cost of a Christmas haul consisting of 24 cans of beer, 12 ciders, 2 bottles of port, 5 bottles of wine, 2 bottles of Champagne, 2 bottles of sparkling wine and 3 bottles of spirits.

Of the £52 difference in tax spend, duty alone (not including VAT) accounts for £44.71.

UK vs France Christmas alcohol costs:

The figures come as the WSTA and Scotch Whisky Association (SWA), in partnership with the Taxpayers’ Alliance, recently launched their “Drop the Duty!” campaign, calling for a 2% cut in alcohol duty at the next UK Budget in March.

Miles Beale, chief executive of the WSTA, said: “These figures are staggering. Not only is it outrageous that UK consumers are having to face such tax increases, but it adds insult to injury when French consumers are paying significantly less.

“By making a modest cut in duty on wine and spirits at the next Budget the Chancellor would provide welcome relief for the UK public and hopefully mean that, next Christmas, consumers’ money will be able to go that little bit further.”

Alcohol tax increases since 2010:

Jonathan Isaby, chief executive of the TaxPayers’ Alliance, said: “This is a shocking report and reveals just how hard British consumers are hit compared to their continental neighbours.

“Politicians always talk about the cost of living crisis, but they make it far worse by levying too-high taxes on everyday goods. December is expensive enough for hard-pressed families up and down the UK without the Chancellor taking a Christmas bonus on festive tipples. It’s time to drop the duty.”