London Daily

Focus on the big picture.
Thursday, Nov 27, 2025

What Rishi's Sunak's 'fairer' wine duty will cost you as taxes set to rise

What Rishi's Sunak's 'fairer' wine duty will cost you as taxes set to rise

Bottles of wine are set to rise sharply in price under a new tax regime set by Chancellor Rishi Sunak.

The Treasury’s plan to ‘simplify’ the alcohol duty system, which it said was possible due to Brexit, will see fans of certain drinks hit more than others.

Beer and cider bought on tap is expected to come down by 3 pence, while a ‘super-tax’ on sparkling wine, prosecco and champagne will also be scrapped.

Unveiling his autumn budget last year, Sunak, who is teetotal, vowed to simplify the alcohol tax system, which he called ‘outdated and full of historic anomalies’.

The change will cut 15 bands of taxation for beer, cider wine and spirits to just six, but not everyone is happy with the change.

Research by Wine Drinkers UK (WDUK) found 95 % of the most popular wines will suffer a hike in prices as a result of the change, affecting drinks with an ABV above 11.5%.

For example, red wines such as Hardy’s Shiraz (14%) would rise by 58p to £7.58, while Barefoot Merlot (13.5%) would rise by 47p to £7.22.

What Sunak’s plans could mean for your favourite bottles of wine


Whites such as Hardy’s Crest Chardonnay (13%) would rise 35p to £7.35 and Casillero del Diablo Sauvignon Blanc (13%) would go up 35p to £8.35, MailOnline reports.

On the other hand, weaker drinks like many rose wines and liqueurs which are currently considered over-taxed, should become cheaper.

The new system is expected to come into force from February 1 2023, subject to a consultation which ends on January 30 this year.

Taxpayers’ Alliance chief executive John O’Connell said: ‘Simplifying duties is no bad thing but hiking taxes on our favourite wines will leave families short-changed.’

Last month the UK Spirits Alliance, which represents over 160 distillers, says Sunak’s plans will not create a ‘level playing field’ for the drinks industry.

Beer is set to come down by a whopping 3 pence, provided pubs and manufacturers don’t up their prices


Imported booze such as Italian prosecco will be cheaper thanks to a duty cut of around 25%, while home-grown spirits such as Scotch whisky and English gin will be taxed at current rates.

Spirits continue to be taxed at a higher rate per unit of alcohol than any other category – 16% more than wine and 256% more than cider.

A Spirits Alliance spokesman said: ‘We urge ministers to look closely at the proposals and ensure spirits are not treated unfairly compared to other categories.’

A Treasury spokeswoman said: ‘We have adopted a common sense approach to alcohol duty by taxing drinks in accordance to their strength, that will come into effect from February 2023.

‘This approach puts the taxation of stronger beers, wines and spirits on an equal footing for the first time.’

Newsletter

Related Articles

0:00
0:00
Close
UK to Slash Key Pension Tax Perk, Targeting High Earners Under New Budget
UK Government Announces £150 Annual Cut to Household Energy Bills Through Levy Reforms
UK Court Hears Challenge to Ban on Palestine Action as Critics Decry Heavy-Handed Measures
Investors Rush Into UK Gilts and Sterling After Budget Eases Fiscal Concerns
UK to Raise Online Betting Taxes by £1.1 Billion Under New Budget — Firms Warn of Fallout
Lamine Yamal? The ‘Heir to Messi’ Lost to Barcelona — and the Kingdom Is in a Frenzy
Warner Music Group Drops Suit Against Suno, Launches Licensed AI-Music Deal
HP to Cut up to 6,000 Jobs Globally as It Ramps Up AI Integration
MediaWorld Sold iPad Air for €15 — Then Asked Customers to Return Them or Pay More
UK Prime Minister Sir Keir Starmer Promises ‘Full-Time’ Education for All Children as School Attendance Slips
UK Extends Sugar Tax to Sweetened Milkshakes and Lattes in 2028 Health Push
UK Government Backs £49 Billion Plan for Heathrow Third Runway and Expansion
UK Gambling Firms Report £1bn Surge in Annual Profits as Pressure Mounts for Higher Betting Taxes
UK Shares Advance Ahead of Budget as Financials and Consumer Staples Lead Gains
Domino’s UK CEO Andrew Rennie Steps Down Amid Strategic Reset
UK Economy Stalls as Reeves Faces First Budget Test
UK Economy’s Weak Start Adds Pressure on Prime Minister Starmer
UK Government Acknowledges Billionaire Exodus Amid Tax Rise Concerns
UK Budget 2025: Markets Brace as Chancellor Faces Fiscal Tightrope
UK Unveils Strategic Plan to Secure Critical Mineral Supply Chains
UK Taskforce Calls for Radical Reset of Nuclear Regulation to Cut Costs and Accelerate Build
UK Government Launches Consultation on Major Overhaul of Settlement Rules
Google Struggles to Meet AI Demand as Infrastructure, Energy and Supply-Chain Gaps Deepen
Car Parts Leader Warns Europe Faces Heavy Job Losses in ‘Darwinian’ Auto Shake-Out
Arsenal Move Six Points Clear After Eze’s Historic Hat-Trick in Derby Rout
Wealthy New Yorkers Weigh Second Homes as the ‘Mamdani Effect’ Ripples Through Luxury Markets
Families Accuse OpenAI of Enabling ‘AI-Driven Delusions’ After Multiple Suicides
UK Unveils Critical-Minerals Strategy to Break China Supply-Chain Grip
Taylor Swift’s “The Fate of Ophelia” Extends U.K. No. 1 Run to Five Weeks
UK VPN Sign-Ups Surge by Over 1,400 % as Age-Verification Law Takes Effect
Former MEP Nathan Gill Jailed for Over Ten Years After Taking Pro-Russia Bribes
Majority of UK Entrepreneurs Regard Government as ‘Anti-Business’, Survey Shows
UK’s Starmer and US President Trump Align as Geneva Talks Probe Ukraine Peace Plan
UK Prime Minister Signals Former Prince Andrew Should Testify to US Epstein Inquiry
Royal Navy Deploys HMS Severn to Shadow Russian Corvette and Tanker Off UK Coast
China’s Wedding Boom: Nightclubs, Mountains and a Demographic Reset
Fugees Founding Member Pras Michel Sentenced to 14 Years in High-Profile US Foreign Influence Case
WhatsApp’s Unexpected Rise Reshapes American Messaging Habits
United States: Judge Dressed Up as Elvis During Hearings – and Was Forced to Resign
Johnson Blasts ‘Incoherent’ Covid Inquiry Findings Amid Report’s Harsh Critique of His Government
Lord Rothermere Secures £500 Million Deal to Acquire Telegraph Titles
Maduro Tightens Security Measures as U.S. Strike Threat Intensifies
U.S. Envoys Deliver Ultimatum to Ukraine: Sign Peace Deal by Thursday or Risk Losing American Support
Zelenskyy Signals Progress Toward Ending the War: ‘One of the Hardest Moments in History’ (end of his business model?)
U.S. Issues Alert Declaring Venezuelan Airspace a Hazard Due to Escalating Security Conditions
The U.S. State Department Announces That Mass Migration Constitutes an Existential Threat to Western Civilization and Undermines the Stability of Key American Allies
Students Challenge AI-Driven Teaching at University of Staffordshire
Pikeville Medical Center Partners with UK’s Golisano Children’s Network to Expand Pediatric Care
Germany, France and UK Confirm Full Support for Ukraine in US-Backed Security Plan
UK Low-Traffic Neighbourhoods Face Rising Backlash as Pandemic Schemes Unravel
×