BN 55 - Alcohol Duty Rates

Who is likely to be affected?

1. Manufacturers, importers, distributors, retailers and consumers of certain alcohol products (beer, wine and made-wine).

General description of the measure

2. Annual Setting of Duty Rates for Alcohol

• duty on beer will increase in line with inflation, adding 1 penny to a pint of beer;
• duty on wine and made-wine will increase in line with inflation, adding 4 pence to a 75cl bottle of wine;
• duties on spirits, sparkling wine and cider will be frozen;
• the value of Small Brewers Relief will also increase in line with inflation, and will continue to provide 50% duty relief to the smallest brewers.

Operative date

3. Midnight on Sunday 26th March 2006.

Current law and proposed revisions

4. The Alcoholic Liquor Duties Act 1979 and the HM Revenue and Customs Tariff will be amended to reflect the changes.

Further advice

5. If you have any questions about this change, please contact the HMRC National Advice Service on 0845 010 9000.

Alcohol duty rates, including the new duty rates for beer and still wine, are as follows:

Type	Rate £ per litre of pure alcohol
Spirits	19.56
Spirits-based RTDs	19.56
Wine and made-wine: Exceeding 22% abv	19.56

 

Type	Rate £ per hectolitre per cent of alcohol in the beer
Beer	13.26

 

Type	Rate £ per hectolitre of product
Still cider and perry: Exceeding 1.2% - not exceeding 7.5% abv.	25.61
Still cider and perry: Exceeding 7.5% - less than 8.5% abv.	38.43
Sparkling cider and perry: Exceeding 1.2% - not exceeding 5.5% abv.	25.61
Sparkling cider and perry: Exceeding 5.5% - less than 8.5% abv.	166.70
Wine and made-wine: Exceeding 1.2% - not exceeding 4% abv.	53.06
Wine and made-wine: Exceeding 4% - not exceeding 5.5% abv.	72.95
Still wine and made-wine: Exceeding 5.5% - not exceeding 15% abv.	172.17
Wine and made-wine: Exceeding 15% - not exceeding 22% abv.	229.55
Sparkling wine and made-wine: Exceeding 5.5% - less than 8.5% abv.	166.70
Sparkling wine and made-wine: 8.5% and above -not exceeding 15% abv	220.54