Alcohol duty changes could see extra £3bn by 2027

The new alcohol duty system changes could see an additional £3bn raised in alcohol duties, according to the Office for Budget Responsibility (OBR)

There is just one month to go until the government’s new alcohol duty system comes into effect, which will tax alcohol based on its ABV.

The changes, marked as the most radical in 140 years, will mean that businesses will have to pay higher rates of tax, depending on the strength of the alcohol that they are selling.

From 1 August 2023, a glass of red wine could face 11p more in duty, while a pint of beer in the pub could be 3p less.

The system replaces the current alcohol duty and will introduce six standardised alcohol duty bands across all types of alcoholic products.

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