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The View From Westminster Our regular
A large double
There’s two big issues that brewers need to get their heads around in the next year – the alcohol duty system changes and the Scottish Deposit Return Scheme (DRS). To help, SIBA has provided detailed guides which are available on the Toolbox.
Barry Watts
SIBA Head of Public Affairs and Policy
Alcohol Duty System Deposit Return Schemes
This consists of fundamental changes to the whole alcohol duty system coming into force in February next year. In particular it includes combining Small Brewers Relief (SBR) with Small Producer Relief, creating a new draught duty rate and changing the alcohol bands. If you haven’t already, I’d recommend reading SIBA’s guide and using our handy calculator to understand the impact it may have. We’re expecting the Treasury to publish its response to the consultation in the next month or so, with further consultations on legislation changes and the details of the Small Producer Relief.
Once again, I’d encourage you to write to your MP to highlight the key areas of concern including the expansion of the lower band to 3.4% and ensuring SBR is fully applied; making sure that the draught duty rate includes 20 and 30 litre containers and the inequality between cider and beer. Scotland is still intending to go ahead with their own scheme in August 2023. This means you need to start planning to ensure your brewery is prepared. If you sell into Scotland (whether its via your webshop, a wholesaler or a bottle shop) you’ll have to comply with the scheme. This will include bottle shops you might sell to that then sell online into Scotland. SIBA has put together a useful briefing on how it will work (available via the toolbox), which will be updated as and when we get more information.
We’ve also now discovered that glass will not be included in the separate English and NI scheme expected in 2024/25. Perversely, Wales has decided to include glass and push for a digital DRS. This means that there will be three different schemes in the UK, causing havoc for supply chains, increasing your costs and ultimately reducing consumer choice. SIBA keeps making the case for better joined up thinking as well as changes to the schemes.
CARF funding
Over a year ago the Government announced £1.5 billion of new funding under the Additional Relief Fund (CARF). This is for businesses, like small brewers, that did not receive business rate support during the pandemic. However only about a third of local councils have started to pay the money out. We’ve called on the Government to prioritise its roll out but also extend the funding to cover a further year. There’s a template letter included in recent Brewing In Brief you can use to contact your MP about it.
New team member
In April we welcomed new member to our lobbying team. Will Lockwood is SIBA’s new Policy and Public Affairs Officer and will be helping to improve our engagement across the four nations. He has many years of political experience having worked for a series of MPs in Parliament. You can contact him at Will. Lockwood@siba.co.uk
A great way to engage with your MP is to have your beer poured in Parliament. You can have your cask ale chosen as the guest ale for the Strangers’ Bar.
MP visits
If you’re interested in arranging an MP visit then Will can help you to organise it. Our most recent members’ survey showed that 60% of SIBA members have not had an MP to tour their brewery. Engaging directly with your MP helps SIBA to campaign for changes and if you can please offer them a tour. The SIBA team can provide briefings, background information and even come along to help.
Get your beer into Parliament
A great way to engage with your MP is to have your beer poured in Parliament. You can have your cask ale chosen as the guest ale for the Strangers’ Bar. It’s a great opportunity to come down to Parliament, have some photos taken to send to the local press and lobby your local MP for changes. Recently Davenports Brewery from Birmingham had their Gold Ale chosen by their local MP John Speller and served to MPs. They used it as the chance to bring their whole brewery team down and engage with their local MPs.
