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Public call time on alcohol tax increases

By Caroline Wilkinson    17 Jul 2008

The recent increases in alcohol duty are more likely to affect sensible drinkers and traditional pubs, rather than it achieve the main aim of deterring alcohol abuse, according to a by the British Beer & Pub Association (BBPA).

The survey, conducted by ComRes on 1,052 adults, revealed that 82 per cent felt the above-inflation increases were unfair on sensible drinkers while a similar amount believed the tax rise would have limited effect on binge-drinking.

The duty on alcohol increased by 9.1 per cent in the March budget; 3 per cent on beer, 14p on a bottle of wine and 55p on spirit bottles. The Treasury also slapped a yearly, 2 per cent above inflation, increase on alcohol duty for the next four years. The BBPA predicts this could result in a £6.50 pint by the Olympics.

Three quarters of those questioned thought that the tax increase could threaten the survival of Britain's traditional pubs, which are already under pressure from the impact of the smoking ban, spiraling costs and dipping consumer confidence. According to BBPA figures, nearly four pubs a day closed in 2007.

Rob Hayward, chief executive of the BBPA, said: "This polling calls time on the Government's stealth taxes on beer. The public is deeply opposed to the chancellor pushing up the price of a pint at a time when people's main concern is rising prices across the board."

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