Extra duty on alcohol above 7.5%

30th November 2010

Taxes on high-strength beers and lagers are to be increased as part of a drive to encourage responsible drinking, it has been announced.

The additional tax will come into effect from autumn 2011 and will be imposed on beer with a strength above 7.5 per cent alcohol by volume, the government has said.

Duties on beers with a strength of 2.8 per cent or less will be reduced.

The amount of the new tax will be announced by chancellor George Osborne in the Budget next March.

A Downing Street spokesman would not comment on its size, but said it would be large enough to influence drinkers' behaviour.

In a written statement, economic secretary to the Treasury, Justine Greening said the measures are part of the wider government action to tackle problem drinking due to be announced this week by the health secretary Andrew Lansley and home secretary Theresa May.

"The government recognises that in some areas taxation can have a role in helping to address the harms associated with problem drinking.

"For example, a change to the definition of cider has already been made resulting in increased duty on cheap, strong ciders strongly associated with public health concerns."

The government's public health white paper, to be published later today, makes clear that ministers are determined to tackle the issue of problem drinking.

Health secretary Andrew Lansley will deliver his ideas in more details on public health to MPs at 3.30pm in the Commons.

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