Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether her Department plans to review duty relief schemes to support the growth of British wine production.
The wine industry makes a vital contribution to our economy and society.
Draught Relief allows products served on draught to benefit from a lower rate of alcohol duty, providing vital support to producers, pubs and other venues.
Small Producer Relief supports smaller firms and new entrants by providing a reduced duty rate for those who make 4,500 hectolitres or less of alcohol per year.
While wine producers can benefit from these reliefs, both are limited to products below 8.5 per cent alcohol by volume (ABV), in line with the principle underpinning the reformed alcohol duty system that stronger alcoholic drinks should pay more duty.
The Chancellor makes decisions on tax policy at fiscal events, and the Government welcomes representations from the wine sector in advance of the Budget.