BOOZE bosses are demanding a cut to the disastrous alcohol tax at the next Budget.
Gin and whisky makers say the last Government’s 10.1 per cent duty increase “spectacularly backfired” with a £300million drop in tax receipts.
They have submitted a dossier to the Treasury on how the hike slammed the brakes on the spirit sector leading to spiralling “ginflation”.
The UK Spirits Alliance will launch a campaign next week calling on Chancellor Rachel Reeves to raise revenue by backing spirits in the Budget.
They will be driving an advertising van around Liverpool at the Labour Party Conference.
Liam Hirt from Circumstance Distillery said the decision to increase spirit duty had a “disastrous effect”.
He added: “This tax rise resulted in alcohol’s largest-ever contribution to inflation in 17 years, increasing costs for British producers and punishing a once-thriving sector.”
A Treasury spokesperson said: “Following the spending audit, the Chancellor has been clear that difficult decisions lie ahead on spending, welfare and tax to fix the foundations of our economy and address the £22 billion hole the government has inherited.
“Decisions on how to do that will be taken at the Budget in the round.”
