The Wines and Spirits Trade Association (WSTA) has released a report saying that axing the government’s alcohol duty escalator (ADE) would boost public finances by over £230m and create 6,000 new jobs next year in the UK.
The research was conducted by Ernst & Young (EY) and published by the WSTA.
This report, coincides with the launch of a 'Call Time on Duty' campaign, urging the UK Chancellor of Exchequer George Osborne to scrap alcohol super tax in the upcoming budget.
Under the campaign, drinkers will be urged to e-mail their local MP and ask them to write to the chancellor through the calltimeonduty.co.uk website.
Currently, tax accounts for 79% of an average priced bottle of spirits, and 57% of an average priced bottle of wine. Since Osborne became chancellor, tax on wine and spirits grew by 25%.
Tax on wines and spirits grew by 50% and 44% respectively since 2008.
The EY report also found that employment growth in the wines and spirits area has been declining since the introduction of the alcohol duty escalator.
Introduced in 2008, the alcohol duty escalator is set to continue until 2015.
The report also noted that the wine and spirit industry directly or indirectly supported 475,000 jobs in the UK last year.
