Nightlife Leaders Express Frustration Over UK Alcohol Duty Rise, Calling Industry ‘Essential’

The UK nightlife industry is expressing deep concern and frustration in response to the government’s newly announced increases in alcohol prices, scheduled to take effect from August 1. The new rules will shift the taxation of alcoholic drinks from volume-based to strength-based, leading to tax hikes of up to 20% on certain beverages.

Nightlife businesses fear that these price increases could potentially deter people from frequenting bars and clubs, exacerbating the challenges the industry has already faced in recent years, especially amid the ongoing cost of living crisis.

The Night Time Industries Association (NTIA) strongly condemns the government’s plan, warning that it will further compound existing issues in the nightlife economy. Michael Kill, from NTIA, emphasizes that the recent actions to implement the largest alcohol duty increase in nearly half a century, combined with the withdrawal of support and high taxes, have sparked anger and frustration throughout the night-time economy sector. He urges decision-makers to understand the profound impact of their actions, highlighting the ripple effects on the industry, workforce, and society as a whole.

Under the new regulations, alcoholic beverages like wine and spirits will face more substantial price alterations, with drinks over 12% volume experiencing potential price increases of up to £1. Packaged beers and cans sold in shops across the UK are also likely to see a 10.1% increase in prices.

While wine and spirits face considerable price hikes, the government plans to freeze the price of draught beer, potentially leading to a reduction of 11p in pint prices, according to Ministers.

NTIA stresses the need for solutions that address the sector’s challenges without suffocating it. They firmly assert that the nightlife industry is an essential part of the community fabric, and a thriving night-time economy benefits society as a whole.