'Eye watering' hike in wine duty set to be 'painful' for businesses and customers
The "eye-watering" hike in duty on wine will be "very painful" according, to one Shropshire firm.
Tom Holt, from Shrewsbury-based Paso Primero, was speaking after the Government's new duty rates came into force – adding 44p to a bottle of 12 per cent wine.
Mrs Holt's feelings have been echoed by James Tanner, chairman of Shrewsbury's Tanners Wines, who said the increase was "too much".
The increase is aimed at encouraging drinkers to cut back by taxing all alcohol based on its strength, rather than the previous categories of wine, beer, spirits, and ciders.
Paso Primero is a Shrewsbury-born firm, which makes wine in Somanto, in the central Pyrenees of northern Spain.
The award-winning business produces around 60,000 bottles a year.
Mr Holt said the rise would be off-putting for consumers – and would particularly hit the mid-level of customers.
