UK nightlife industry share anger over increased alcohol duty and drink prices

Stock photo of people in a nightclub

The UK nightlife industry has expressed their anger over increased increased alcohol duty and drink prices in the UK.

Tax hikes of up to 20 per cent have been enforced under a plan brought in by Prime Minister Rishi Sunak and Chancellor Jeremy Hunt from today (August 1).

It means that alcohol will be taxed based on its strength, which has led to spirits and wine manufacturing groups complaining that they have been hit unfairly.

From today, packaged beer bottles and cans from off licences or supermarkets are likely to increase by 10.1 per cent, while wine will rise by 44p a bottle, according to The Independent. Gin and vodka, meanwhile, will also go up by 90p.

The only upside is that draught pints in pubs across across the UK will be cut by 11p.

The move has been strongly condemned by the Night Time Industries Association, which claims that the “planned alcohol duty increase today threatens to inflict severe damage on an already struggling industry that plays a crucial role in our nation’s economy and cultural vitality”.

The NTIA is now urging the government to reconsider “this detrimental action and engage in meaningful dialogue with industry representatives to understand the far-reaching consequences of this decision”.

NTIA CEO Michael Kill said: “The recent actions taken by decision-makers to implement the biggest single increase in alcohol duty in almost 50 years, coupled with the wilful withdrawal of support and the imposition of already excessive taxes, have ignited anger and frustration across the night time economy sector.”

“From the withdrawal of non-domestic energy support to changes in the late-night levy, the withdrawal of regulatory easements and now the biggest increase in alcohol duty for several decades, the consequences of these decisions are becoming increasingly burdensome.

“As a sector that has stood resilient in the face of unprecedented challenges, we cannot help but feel neglected by the very authorities we have supported during the pandemic crisis. The speed with which we seem to be forgotten is disheartening, especially given the pivotal role our businesses play in driving economic growth and fostering vibrant communities.”

Kill continued: “I urge decision-makers to recognise the profound impact of their actions and the ripple effects they will have on our industry, workforce, and society as a whole. We are not asking for special treatment but simply for fair consideration, understanding, and support as we navigate the road to recovery.

“We need to find solutions that address the challenges faced by our sector, not squeeze the life out of it. Our industry is essential to the fabric of our communities, and a thriving night time economy benefits us all.”

Earlier this year the NTIA claimed that the government was “intentionally” closing down nightclubs and venues across the country.

According to a report at the time, 870 nightclubs remain open in the UK today compared to 1,446 in 2019.

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