BBC reports that GB will institute higher taxes on drinks with higher alcohol content. They expect this to bring attention to English wines. White wine taxes are to decrease. Red wine taxes are to increase. What am I not getting? And why doesn't vodka change?
But the UK government's plans to reform alcohol taxation might not apply in Northern Ireland due to the protocol. The protocol keeps Northern Ireland in the EU single market for goods. As a result, EU excise duty rules continue to apply. The EU sets a minimum tax rate for alcoholic drinks but member states can apply tax at a rate higher than the minimum. But they may make a deal with the EU on this issue. So, northerners will shop for higher alcohol content drinks in the south and Irish Republicans will cross the border to get cheap British wines in the north.
How is this an important post-Brexit issue to address?
Anyway, this weekend the EU and US have agreed to eliminate the whiskey tariffs in response to Trumps's steel retaliation trade war. But the Brits will keep theirs in force it appears.
