UK: CAMRA condemns rise in beer duty as a blow for beer drinkers

The Campaign for Real Ale (CAMRA) announce on March 22 it has slammed the Chancellor’s decision to freeze champagne duty while increasing beer duty in today’s budget as a slap in the face for Britain’s beer drinkers.

The 80,000 member strong consumer group had called for a freeze or a decrease in excise duty in order to reduce the gap between excise duty in the UK and the rest of Europe, enhance the viability of community pubs, and remove some of the profit from overseas alcohol smuggling.

CAMRA Chief Executive Mike Benner said: “This increase is a blow to pubs and consumers. We have seen that even a small increase in excise duty translates into a disproportionate cost for the consumer.

“Such high costs increase the risk that people will no longer visit the pub as frequently, therefore putting the viability of community pubs at risk and threatening the livelihood of hard-working licensees.”

“This move will weaken the economy and leave the UK open to a flood of cheap drink being brought in by cross-channel smugglers.”

“Given that beer is our traditional drink and the World Cup is being held in Germany, it’s outrageous that the Chancellor has frozen duty on champagne. I hope millions of English drinkers can look forward to toasting England’s success in the summer with a good pint of British real ale – not champagne.”

CAMRA welcomed the freeze on cider duty which will help support Britain’s 150 small independent cider and perry producers.

A prices survey conducted by CAMRA in February 2006 by CAMRA revealed that the penny increase in excise duty imposed by the Chancellor in the 2005 budget contributed to an average nine pence increase in the price of real ale and lager in the UK.

Duty on a pint of 5% abv beer in other EU countries

Austria 9.4p
Belgium 8.1
Cyprus 9.4
Czech 3.8
Denmark 13.4
Estonia 7.3
Finland 38.3
France 5.1
Germany 3.7
Greece 5.3
Hungary 8.1
Ireland 39.1
Italy 9.3
Latvia 3.4
Lithuania 4.0
Luxembourg3.7
Malta 3.5
Netherlands 9.9
Poland 8.1
Portugal 6.2
Slovakia 6.2
Slovenia 3.5
Spain 3.6
Sweden 31.8
UK 36.7

Based on exchange rates in March 2005.

24 March, 2006