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Drinkers urged to write to their MP to get the Chancellor to Call Time on Duty

Published:  18 December, 2013

As part of the Wine & Spirit Trade Association's Call Time on Duty campaign, being launched today to try and force the government to scrap the duty escalator and raise £230m and 6,000 jobs in the process, it is calling on the public to show their support and email a letter to their local MP to put pressure on the Chancellor.

Here is a copy of that letter which members of the trade are also being urged to pass on to their customers to get the maximum amount of support for the campaign.

As part of the Wine & Spirit Trade Association's Call Time on Duty campaign, being launched today to try and force the government to scrap the duty escalator and raise £230m and 6,000 jobs in the process, it is calling on the public to show their support and email a letter to their local MP to put pressure on the Chancellor.

Here is a copy of that letter which members of the trade are also being urged to pass on to their customers to get the maximum amount of support for the campaign.

Dear Sir/Madam

I am writing as a constituent to ask you to write to the Chancellor of the Exchequer on my behalf. I would be grateful if you could urge him to call time on his alcohol super tax (the Alcohol Duty Escalator) in the 2014 Budget.

I am supporting the campaign because I cannot believe how unfair the current alcohol tax system is. I find it incredible that if I buy an average priced bottle of spirits, more than three-quarters (79%) of it goes to the Chancellor in tax. The tax on a bottle of wine, nearly 60% of the cost of an average priced bottle, is also ridiculously high, especially if you compare it with France where I would pay 20% or Spain where I would pay 21% in tax.

I just cannot see how it is fair to hit hard-pressed consumers with an alcohol super tax that keeps on rising by 2% above inflation, year on year. Surely the cost of living is already high enough without the Chancellor taking the tax on a bottle of spirits to over 80%, which is what will happen unless he calls time on his unpopular alcohol super tax in the next Budget.

George Osborne talks about creating new jobs and cutting taxes. Calling time on his super tax would do both. Independent research shows that 6000 new jobs could be created and £230 million of additional public finances generated to pay for schools and hospitals if he does the right thing and scraps his super tax.

The fact that my local pub would benefit too is really important. I was pleased when I heard the Chancellor wanted to support pubs, but then I learnt that he increased their tax bill by £34 million in 2013 through his Alcohol Duty Escalator on wines and spirits. This simply does not make sense when 26 million people drink wine in pubs, bars and restaurants, and wine and spirits already account for almost half (42%) of their alcohol sales.

Almost two million people depend on the alcohol industry for their livelihoods, while the industry generates £38 billion for the economy annually and pays £17 billion in tax.

Responsible drinkers deserve a freeze in alcohol duty, not another inflation-busting tax hike. Please could you urge the Chancellor to use his 2014 Budget to do the right thing and scrap this deeply unpopular super tax? I look forward to hearing from you and to receiving a copy of the Chancellor's response to your letter.

 

* You will shortly be able to send a similar letter through Harpers.co.uk, as a member of the trade or as a producer distributing in the UK, outlining the the damage that above inflation duty rises on alcohol is having on your business to your local MP or direct to the Chancellor. 

 

 

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