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March 2021 Budget Analysis

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  • Alcohol duties were frozen across the board in the March 2021 Budget, making this the eighth year out of nine that duty has failed to keep up with inflation.
  • In real terms, beer duty is now 21% lower than in 2012/13, cider and spirits duty 13% lower, and wine duty 5% lower.
  • Cuts and freezes to alcohol duty have contributed to the growing affordability of alcohol, leading to greater health harms: duty cuts between 2012-2019 have been linked to over 2,200 additional deaths.
  • Cumulatively, recent duty cuts will cost the Treasury over £1.8 billion annually.
  • No further announcements were made at the Budget about the ongoing review of alcohol duty.

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