FDBusiness.com

UK Showing the Way For Beer Tax Cuts as Means of Stimulating Growth and Jobs

 Breaking News
  • Royal A-Ware and Glanbia Ireland to Build New €140 Million Continental Cheese Facility Royal A-ware, a leading global cheese and dairy producer in The Netherlands, and Glanbia Ireland, Ireland’s largest dairy processor, plan to enter a strategic partnership that proposes to build a new continental cheese manufacturing facility in Belview, County Kilkenny, Ireland. It is proposed that a total of €140 million will be invested in this best-in-class [...]...
  • Pladis Appoints Global CEO Pladis, one of the world’s leading snacking companies, has appointed A Salman Amin as global CEO. He will take over the leadership officially in February. With a strong reputation in the food and drink sector, Salman Amin takes up the role after a highly successful international career spanning 30 years and three continents. Most recently, he [...]...
  • ADM Adds New Line of Specialty Tapioca Starches For the EMEA Region Archer Daniels Midland Company has announced a long term partnership with General Starch Limited (GSL), a leading tapioca starch producer located in Thailand. ADM will have exclusive distribution rights of the GSL modified tapioca starch products in the majority of the European countries, as well as in the Middle East and Africa. This range of [...]...
  • Louis Dreyfus Company to Exit Dairy Louis Dreyfus Company, a leading international merchant and processor of agricultural goods, has announced its decision to exit its dairy business by mid-2019. The move is in line with the company’s strategy over the past three years to exit non-core areas and refocus on its core businesses, including investments in origination markets and expansion along [...]...
  • Lucozade Ribena Suntory to Invest £13 Million in UK Factory Japan-based Suntory Beverage & Food is investing £13 million in its UK-based subsidiary Lucozade Ribena Suntory to install a new, high-speed bottle filler at its factory in Coleford, Gloucestershire. The new filler will produce 1.3 million bottles a day and will be instrumental in increasing productivity and efficiency at the Lucozade Ribena Suntory factory. The investment [...]...

UK Showing the Way For Beer Tax Cuts as Means of Stimulating Growth and Jobs

UK Showing the Way For Beer Tax Cuts as Means of Stimulating Growth and Jobs
March 23
10:14 2015

The Brewers of Europe, which represents national brewers’ associations from 29 European countries, has welcomed the announcement by British Chancellor George Osborne that beer taxes in the UK will be cut for the third year running.

According to the British Beer & Pub Association the latest tax cut will boost employment by 3,800 this year alone and attract new capital investment. It will also put £180 million in the pockets of beer drinkers and pubgoers.

The abolition of the so-called “beer duty escalator” (a previous system whereby beer tax was increased above inflation year on year) and a beer tax cut in 2013 and 2014 had already secured 16,000 jobs. What this latest announcement shows to other EU governments is that a water-tight case can be made for beer tax cuts as a means of stimulating investment, growth, jobs and ultimately new tax revenues for the government too.

Beer generates over 2 million jobs across the EU and there are now well over 5000 breweries across the Continent. The sector went through tough times after 2008, with consumption in the EU dropping by 8% in just two years and the hospitality sector particularly suffering. At the same time many governments were increasing beer taxes in order to try and quickly gather money to plug gaps in their national budgets.

However, increasingly governments, such as in Denmark and the UK, are also looking at the positive contribution the beer sector makes to growth, jobs and tax revenues. Hitting the beer sector with punitive taxes not only hurts the breweries but it also hurts the wider economy. Tax cuts on the other hand can boost the beer sector, support the brewing value chain and help beer support the overall economy. Italian brewers managed to avert one tax hike in 2014 but were then hit with a new one on 1st January. That is why the Italian brewers this week launched a new campaign to also help its consumers understand just how much of the cost of their beer is going to the tax authorities and the threat this poses to the sustainability of Italy’s burgeoning beer culture.

For these reasons The Brewers of Europe strongly encourages EU Member States to consider the positive contribution that beer provides to the economy and choose an excise system that is supportive to beer, recognises the specifics of the beer category and enables beer to help stimulate economic recovery.

About Author

mike

mike

Related Articles



Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • June 18, 2019Multimodal 2019
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber

Subscribe Here



Advertisements