To ask the Chancellor of the Exchequer, whether he has made an assessment of the potential impact of ending the temporary duty easement for wines between 11.5% and 14.5% alcohol by volume on small and medium-sized wine businesses in the UK.

As part of the new alcohol duty system, the Government introduced a temporary wine easement for 18 months. Until February 2025, all wine between 11.5-14.5% alcohol by volume (ABV) will pay duty as if it were 12.5% ABV. This means the wine industry will have had over two years to adapt to the new system.

The Government is closely monitoring the impact of the recent reforms and will evaluate the impact of the new rates and structures three years after the changes took effect on 1 August 2023. This will allow time to understand the impacts on the alcohol market, and for HMRC to gather useful and accurate data with which to evaluate the effects of the reform.

As with all taxes, the Government keeps the alcohol duty system under review during its yearly Budget process.