The chancellor's decision to scrap plans for a system of tax stamps on bottles of spirits in last week's Budget has been welcomed by Britain's retail sector.

Forum Response: British Retail Consortium

Bill Moyes, director general of the British Retail Consortium, told ePolitix.com: "We are delighted at this news from last week's Budget. Whilst we are supportive of action to reduce tax fraud in the alcoholic drink sector, we had reservations about the proposal to introduce a system of tax stamps for spirits.

"We believed that the proposed scheme would have imposed unjustified additional costs on the retail sector whilst out delivering any effective benefits.

"We understand that tax strip schemes in other countries had failed reduce fraud and subsequently been withdrawn. Indeed, the tax strips themselves became a commodity that could be forged or stolen. It would be much easier to steal a small box containing tax strips than a container full of whisky.

"The government should be addressing the issue by making the fraudulent sales of alcoholic drinks less attractive to the criminal fraternity by seeking to harmonise excise duty rates across the European single market."