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Budget 2016: Duty Changes and Industry Consultations

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  1. 2016 NACM 1

  2. NACM • Team • Chairman Martin Thatcher • Vice Chair Helen Thomas • Chief Executive Fenella Tyler • Communications Officer Gabe Cook • Public Affairs / EU Bob Price • Pomology Advisor Richard Heathcote • Administration Michelle Hickman • 11 Direct Members (2 new) + 6 Affiliated Members • Office - Much Marcle, Herefordshire

  3. Budget 2016 - Alcohol • Cider Duty Frozen: • in recognition of the important role cider makers play in rural communities • Beer Duty & Spirits Duty Frozen: • Support for Pubs (Beer) and Export (Whiskey) • Wine duty increased by RPI • New Alcohol Strategy – consultation to follow • Allows for review of 70Hl (focus still on an EU solution)

  4. Budget 2016 – Duty Changes • Sparkling cider and perry • 5.5% - 8.5% abv: £268.99 per Hl • Wine and made-wine • 1.2% - 4% abv: £85.60 per Hl • 4% - 5.5% abv: £117.72 per Hl • 5.5% - 15% abv: £277.84 per Hl • 5.5% - 8.5% abv: £268.99 per Hl • 15% - 22% abv: £370.41 per Hl • Sparkling wine and made-wine • 8.5% - 15% abv: £355.87 per Hl

  5. Budget 2016 - Sugar • Sugar levy on soft drinks – from 2018 • Exemption for milk • Exemption for pure juice drinks – with no added sugar • Does not apply to alcohol • No reference to low alcohol drinks • Two thresholds 5-8mg/100ml & over 8mg/100ml • Health lobby could lobby to widen this from soft drinks • NACM will contribute to the consultation for low alcohol ciders

  6. Chief Medical Officer Guidelines • New guidelines published 8th January • 14 units/week for men & women • Spread over several days • No safe level of drinking • Industry concerns • Drinking in moderation part of healthy lifestyle • Negative media reaction damages consumer reaction • Evidence in other markets strongly contradicts • Alcohol industry commitment to responsible drinking messages on pack • Consultation until 1st April – NACM and Members will respond

  7. Calories/Nutrition Labelling • EU Consultation in place to review nutrition labelling • Exemption for alcohol expected to be removed • All alcohol will then have to carry full nutrition labelling • Process slowed due to EU referendaum • Industry preference is to focus on Calories • Beer industry moving to Cals/100ml • Commitment to include full nutrition labelling online • NACM position supportive • Potential for calories to be included in Dept of Health voluntary labelling

  8. THANK YOU

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