Excise Duties: Alcoholic Drinks

Treasury written question – answered on 12th February 2014.

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Photo of Ian Austin Ian Austin Labour, Dudley North

To ask the Chancellor of the Exchequer

(1) what assessment he has made of the conclusions he has given to Ernst and Young's economic impact assessment of the wine and spirit industry in the UK; and if he will make a statement;

(2) what assessment he has made of the effect that removing the alcohol duty escalator would have on levels of alcohol fraud in 2014; and if he will make a statement;

(3) what estimate he has made of the number of jobs that would be created as a result of the alcohol duty escalator in 2014; and if he will make a statement.

Photo of Nicky Morgan Nicky Morgan The Economic Secretary to the Treasury

HM Treasury keeps all taxes, including alcohol duties, under review. HM Treasury are considering the Ernst and Young report alongside all other Budget representations.

The Government has taken recent action that will help the alcohol industry. A major business rates package was announced at autumn statement 2013 that will help ease the tax burden on business. The Government will also abolish employer national insurance contributions for under-21s earning below £813 per week from April 2015.

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