Scotch Whisky Boss Urges Chancellor: Freeze Spirits Duty to Save Industry and Jobs

Mark Kent, the Chief Executive of the Scotch Whisky Association, has called on the Chancellor to impose a multi-year freeze on spirits duty. Kent seeks this measure to bolster the industry and the hospitality sector, which are grappling with global uncertainties and escalating regulatory costs.

The Scotch Whisky Association (SWA) has sounded the alarm over the industry's ongoing struggles. It faces a 10 per cent tariff on exports to the US, adding further pressure to an already strained sector. The SWA has urged the UK Government to implement a multi-year duty freeze to provide much-needed stability.

Scotch Whisky plays a pivotal role in Scotland's economy and tourism. Over 2.7 million visitors flock to whisky centres annually, contributing significantly to the country's tourism industry. However, recent duty increases have cost the Treasury £700m and placed a £12 tax burden on every bottle of Scotch sold in the UK. The SWA argues that this financial strain has led to job losses, with over 1,000 positions shed in the past year.

The SWA warns that continued inaction on spirits duty could lead to further job losses, decreased investment, and a decline in Treasury revenues. Despite accounting for only 15% of drinks served, spirits contribute 38% of alcohol profits in the hospitality sector. Scotch Whisky, a significant UK export, reaches over 180 countries and accounts for 22% of all food and drink exports. To ensure the sector's long-term prosperity, producers need confidence in the market to invest and expand.