With England supporters ready to enjoy a pint watching the Euro
2020 final tomorrow, the TaxPayers’ Alliance (TPA) has revealed
that fans are paying around £64,884 per minute in taxes on beer.
Using estimates from England’s semi-final game against Denmark,
the campaign group found that if the current 5 per cent reduced
rate of VAT were extended to alcohol, supporters would have saved
over £3 million on the price of pints during the match. The TPA
previously found that extending the VAT cut to April 2023 and
including alcohol would save drinkers and diners a total of £15.7
billion.
Analysis reveals that almost one third of the cost of a pint is
tax (£1.15), with punters paying £0.53 per pint in beer duty and
£0.62 per pint in VAT. The UK has the highest beer duty of all
the countries England has played in the tournament, and
third-highest compared to EU countries. The tax is almost three
times higher than England’s trophy rivals Italy, and over 13
times higher than Germany’s.
The TaxPayers’ Alliance is calling on the chancellor to support
fans enjoying the final on Sunday and give a helping hand to our
hard-hit hospitality industry, by including alcohol in the VAT
cut and extending it to April 2023.
CLICK HERE
TO SEE THE EUROPEAN BEER DUTY LEAGUE TABLE
Key findings:
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At £0.53 per pint, the UK has the highest beer duty of any EU
member country which England has played in Euro 2020. This is
greater than Sweden’s; more than double Italy’s; more than
triple Denmark’s; more than quadruple Croatia’s; and six
times more than the Czech Republic’s.
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It was estimated that 6.8 million pints would be drunk during
England’s semi-final match against Denmark, raising
£25,092,000 for the hospitality sector. However, £3,604,000
of this will be for beer duty and £4,182,000 for VAT.
Together, this means 31 per cent of the value of pints sold
or £7,786,000 will have been paid in taxes.
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When compared to EU member states, the UK has the third
highest beer duty per pint with only Finland (£0.92) and
Ireland (£0.57) charging more.
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Since 2010, beer duty has increased by 10.2 per cent. Without
this levy, the average cost of a pint would be reduced from
£3.69 to £3.16.
CLICK HERE
TO READ THE BRIEFING
John O’Connell, chief executive of the TaxPayers' Alliance, said:
"Football might be coming home, but the taxes on pints are going
through the roof.
“With England fans backing the squad with a beer in hand, a tax
cut on alcohol would be a massive win for punters and pubs.
“The chancellor should now do his bit and bung booze into the VAT
cut.”
