The UK wine industry is “under siege” due to upcoming changes to alcohol duties, according to a leading retailer.
Steve Finlan, head of the Wine Society, which dates back to 1874 and has 180,000 members, said the tax rules would increase prices for customers.
He also accused the government of ignoring industry requests for fear that some bottles could disappear from British shelves altogether.
Alcohol duty: Steve Finlan, head of the Wine Society – which dates back to 1874 and has 180,000 members – said tax rules would result in higher prices for customers
Finlan's comments echo those of other big brands including Majestic Wine and Laithwaites.
From February 1 next year, the alcohol tax system will introduce over 30 different tax thresholds, which significantly complicates the system.
According to the Wine and Spirits Trade Association (WSTA), this will have an impact on the amount of duty paid on wines between 11.5 and 14.5 percent alcohol by volume (ABV), which make up around 80 percent of the UK market.
A bottle of wine with an ABV of 14.5% will result in an increase in duty from £2.67 to £3.09.
“The UK wine trade is under siege,” Finlan told the Mail.
“The new tariff regime will impact prices across our industry and result in higher costs for British wine consumers.
“If the new government is serious about listening to business, it must recognize that the entire industry is united against the proposed new tariff regime.”
Industry executives fear that consumers will balk at higher prices and spend less, ultimately reducing government tax revenues.
The Wine Society, which sells products ranging from its own claret at £7.95 a bottle to a £6,500 bottle of Jean-Louis Chave Hermitage, has written to its members to warn them.
Warning of a “more costly and complex” system resulting from changes introduced by the last Tory government, Finlan told customers in an email: “Administrative burdens will impact pricing across our industry.
We warned the new government about the negative effects of the proposed tariff system, but it did not listen to us. There is not a single wine company in the UK that supports this new approach.
Other big names calling for a refund include Majestic Wine, Laithwaites and Cambridge Wine Merchants.
Tamara Roberts, chief executive of Ridgeview Wine Estate – a winery in East Sussex – said: “It is simply too complicated and will not be clear to both consumers and producers.”
Chancellor Rachel Reeves also did not rule out an increase in alcohol tax, but according to Pepper Sells, head of wine gift company Di-vine, the increase would be “really punitive”.
A Treasury spokesman said: “We do not comment on speculation about tax changes outside of fiscal events.”
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