The Fed is issuing a reminder to all members that on 1 August 2023, the Alcohol Duty system will be updated by the government to better reflect the growing and expanding marketplace.
The new Alcohol Duty system will instead tax all alcoholic drinks based on their alcohol by volume levels (ABV) as opposed to the current system, which consists of four taxes covering beer, spirits, cider and wine and made-wine. This means that stronger alcoholic products will attract higher duty rates than lower-strength products.
The goal of the changes to the Alcohol Duty system is to simplify the tax and to help the country and businesses grow and prosper.
Wine between 11.5% ABV and 14.5% ABV will be treated as being 12.5% ABV until 1 February 2025 to better calculate the Alcohol Duty.
More information on the Alcohol Duty will be available at the government website: Alcohol Duty from 1 August 2023 – GOV.UK (www.gov.uk)
Please be aware that once the duty comes into force, you may notice that the price of the products you are ordering may change and that overall prices for alcohol-based products may change too.
The Fed will continue to monitor any changes to duties which may affect retailers, and keep members updated on these measures.
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