Drinks in the UK are set to become more expensive thanks to a new government system that will tax alcoholic drinks based on their strength.
The new system has been created with the intention of encouraging people to drink less but has received fierce criticism from hospitality groups who fear it will both fuel inflation and damage an already fragile industry.
The policy means that going forward wine in the UK will become more expensive as well as spirit mixers and cocktails, whilst champagne, sparkling wine and some low alcohol beer will become cheaper as a result.
Its introduction, however, comes at a time when the UK is experiencing record inflation in food and drink, with prices having hit a 45-year high of 19.2% in March 2023.
Current inflation on alcohol and tobacco products, meanwhile, was at 9.2 percent in June.
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However, despite criticism, the government has pressed ahead with the tax measure – with the Prime Minister hailing Brexit for making it all possible as he made a photocall at a Richmond brewery on Tuesday.
Rishi Sunak called the overhaul “the most radical simplification of alcohol duties for over 140 years” and was insistent that hard-up businesses and consumers will benefit from the change.
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The Prime Minister decided to break the news with a pint-pulling photo opportunity in a Richmond pub.
However, whilst Mr Sunak didn’t appear to have clocked the irony of the image it was soon pointed out to him by a heckler inside.
As he posed at Wensleydale brewery with a pint of Black Dub stout, an onlooker called out: “Prime minister, oh the irony that you’re raising alcohol duty on the day that you’re pulling a pint.”
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The announcement about price hikes on Tuesday coincided with the end of the freeze on alcohol duty, first announced by Chancellor Jeremy Hunt in March. As a result, alcohol prices are now set to increase with inflation at 10.1%.
The new tax measures mean that a bottle of wine will increase by 44p, but combined with VAT will mean consumers are paying an extra 53p per bottle.
The tax on gin and vodka bottles, meanwhile, will go up by around 90p, whilst duty on 18% cream sherry will go up by more than £1 and bottles of port are set to rise by more than £1.50.
At first glance, it appears there is some good news for beer drinkers who will see the duty cut by 11p a pint.
However, according to the British Beer and Pub Association (BBPA), because brewers will be required to pay 10.1% more tax on bottles and cans from 1 August their prices could rise to reflect this increase – as that new tax will make up around 30% of the cost of a 500ml bottle.
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Image: The Manc Eats
Image: The Manc Eats
The BBPA also said that the tax increase on packaged beer will add an extra £225 million of costs per year across the industry.
For Scotch Whisky, the cost is set to rise even more with Scotch Whisky Association director of strategy Graeme Littlejohn revealing the tax burden on an average bottle will rise to 75%.
He also said the move will leave distillers at a competitive disadvantage, stressing that “pubs and other on-trade businesses are about far more than beer and cider.”
Calling the 10.1% duty increase a ‘hammer blow for distillers and consumers’, he explained: “At a time when inflation has only just started to creep downwards, this tax increase will continue to fuel inflation and make it more difficult for the Scotch Whisky industry to invest in growth and job creation in Scotland and across the UK supply chain.
“Rather than choosing to back an industry which the UK government promised to support through the tax system, the government has chosen to impose the largest duty increase in almost half a century, increasing the cost of every bottle of Scotch Whisky sold in the UK by almost a pound and taking the tax burden on the average priced bottle to 75%.
“In a further blow, distillers will now face a further competitive disadvantage in pubs, restaurants and bars by being unfairly excluded from tax breaks available to beer and cider.
“Pubs and other on-trade businesses are about far more than beer and cider.”
The prime minister said: “I want to support the drinks and hospitality industries that are helping to grow the economy, and the consumers who enjoy the end result.
“Not only will today’s changes mean that that the price of your pint in the pub is protected, but it will also benefit thousands of businesses across the country.
“We have taken advantage of Brexit to simplify the duty system, to reduce the price of a pint, and to back British pubs.”
Featured image – The Manc Eats
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Passengers warned of ‘disruption’ ahead of more Bee Network bus strikes this weekend
Emily Sergeant
Bus services across Greater Manchester will be disrupted later this weekend as drivers from two companies stage strike action.
In what is the latest chapter in a long-running dispute, Transport for Greater Manchester (TfGM) says it has had confirmation that staff from two operators, Stagecoach and Metroline, will go ahead with further planned strikes this weekend.
If this is the first you’re hearing of the upcoming industrial action, 2,000 workers who were employed by Stagecoach, Metroline Manchester, and First Bus Rochdale – each of which are firms among those that make up the bus part of the Bee Network – walked out in a number of co-ordinated strikes earlier this month amid an ongoing pay dispute.
Unite the Union said each of the firms are ‘highly profitable’ and it’s therefore ‘disappointing’ that workers are being denied a fair wage.
In this case, Unite has confirmed that drivers at First have called off further action after voting to accept a revised pay offer.
Passengers are being warned of ‘disruption’ ahead of more Bee Network bus strikes this weekend / Credit: TfGM
However, both Stagecoach and Metroline staff have opted to proceed with strike action onFriday 10 October, Saturday 11 October, and Monday 13 October.
This means that around 190 services, including some dedicated school buses, will not run on strike days, and TfGM is therefore advising everyone to ‘check before they travel’ and allow extra time to make their journey.
Bus services in Tameside, Trafford, and Stockport are not expected to run, and some services in South Manchester, parts of the city centre, and Rochdale will also be impacted.
Many bus services will continue to run ‘as usual’, however, and this includes services such as the Free Bus in Manchester city centre, as well as the majority of buses in Bolton, Bury, Salford, and Wigan.
The strikes are the latest in an ongoing dispute over pay / Credit: TfGM
“While we are pleased that planned industrial action by First staff has been called off, we encourage Stagecoach, Metroline, and Unite to continue discussions to avert further strike action,” commented Danny Vaughan, who is the Chief Network Officer at TfGM.
“We’ll continue to keep passengers informed and support them to make journeys wherever possible. We encourage everyone to check the latest status of their service before they travel, leave plenty of time for their journey and to get in touch if they have any questions.”
Unite has indicated that further industrial action will also happen on Saturday 18, Thursday 23 and Friday 24 October.
This action could still take place, if pay negotiations are not concluded.
Featured Image – TfGM
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First vendors confirmed Glossop Market Hall, including two indie Manc traders
Danny Jones
The first vendors for the upcoming Glossop Market Hall have been announced, and the lineup includes two beloved Greater Manchester independent businesses.
Better still, the third is another noteworthy name from the North West.
Glossop Market Hall is scheduled to launch later this year, setting up shop in the historic town hall complex, where the High Peak Borough Council, a retail shopping arcade and various other municipal buildings have stood in various different iterations for nearly well over a century.
With the Derbyshire town set to celebrate the opening of the newly revamped market hall, those behind the new Glossop attraction have now revealed the first three names set to take up residence there.
As you can see, the biggest names already signed on to cook from one of the six kitchens is a Manchester favourite food hall in its own right: Hello Oriental.
The Pan-Asian paradise not only has a subterranean space below Circle Square, but also at The Trafford Centre, as well as a dessert spin-off in Freight Island.
Indie trader number two comes in the form of B&V Trading, who are based at Stanley Square in Sale and specialise in eco-friendly, UK-made treats, toys and essentials for four-legged friends.
After proving a hit with the locals, their small stall at nearby Altrincham Market has grown to see them open up not just a second site in the leafy Cheshire suburbs of Knutsford back in 2022, but now boast a third location in neighbouring Macclesfield.
Speaking of Macc, local gin and whisky makers, Forest Distillery – based up at the famous Cat and Fiddle Inn pub towards the Peaks – they round out the first wave of regional businesses set to pop up in Glossop Market Hall (GMH) when it finally arrives this winter.
And once again, as the update on social media reads: “This is just the beginning”.
Natives, day-trippers and tourists from all over are bound to visit this place when it opens sometime in November (exact date still TBC), and with space not only for a dedicated bar, dining space and a coffee shop, but a total of 17 retail spaces, we can’t wait to see what comes next.
GMH becomes just the latest among a growing trend of food and drink halls popping up all over our part of the country, with virtually every Greater Manchester borough now boasting at least one of their own – or, in the city centre’s case, what feels like a dozen now.
Exhibit number… not sure, we’ve lost track at this point.