Moray Council to lobby Jeremy Hunt over 10% whisky tax hike

Moray Council will write to the Chancellor of the Exchequer to ask him to reverse his recently announced 10% tax hike on whisky.

From August 1, when the extra levy comes into force, drinkers will be left having to pay £12 in tax on a £16 bottle.

Councillor Juli Harris raised the issue at the economic development committee yesterday morning, where she compared the levies on various beverages.

Whisky was the most highly taxed at £4.42 per rata, compared to £3.99 for wine, £2.67 for beer and £1.23 for cider.

Cllr Harris (Speyside/Glenlivet, SNP) said: "This is unfair, especially when distilleries are facing higher energy costs but getting no help from the government.

"There were 73million bottles of whisky sold last year in the UK alone – the industry already more than pays its way.

"Half of all Scottish whisky is produced here, so it's a really important issue for Moray."

The tax hike was announced by Jeremy Hunt, the Chancellor, in his March budget.
Speaking further at yesterday's meeting, cllr Harris claimed that it contradicted a pledge contained within the Conservatives 2019 election manifesto to support the whisky industry.

Her motion to write to the chancellor was seconded by cllr Sonya Warren (Buckie, SNP).

She said: "The whisky industry is part of our culture, heritage and very being. Some local families have worked in it for generations – it's more than just a job.

"It's wrong to think that all the distilleries are part of large corporations. In Moray we have several small distilleries and they are facing huge rises in their energy costs."

Cllr Paul McBain (Forres, Conservative) asked whether the council should also write to the Scottish Government about its proposals to ban advertising related to alcohol.

However, he agreed the local authority should hang fire for the moment while the government was reviewing whether to take forward the idea.