Updated 19.4.11: new report identifies importing of apple content for white cider production.
'White ciders' may no longer enjoy the lower tax rate afforded to cider under a new definition which stipulates a minimum 35% juice content.
Traditional cider makers have welcomed new rules which mean cider or perry with less than 35 per cent fruit juice content will face a higher rate of tax (see here for alcohol duty rates). White ciders will now be classed in the higher 'made-wine' duty bracket. See reports from the Morning Advertiser and The Publican.
The change comes within the Alcoholic Liquor Duties (Definition of Cider) Order 2010 - see here for an HMRC briefing [pdf] and here for the parliamentary committee debate.
The move is seen to form a part of the Government's alcohol proposals which included a commitment to 'review alcohol taxation and pricing to ensure it tackles binge drinking'. Speaking at the committee debate, Treasury MP Justine Greening acknowledged the new duty impact on "industrial ciders" stating "Our broad concern is to ensure that we have an alcohol duty regime that starts to go further in addressing the problems associated with problem drinking." Outcomes from the Treasury taxation and pricing review are still to be announced.
Industrial or 'white ciders' and 'supers' have been a recurring topic given concerns over the level of associated harm. See our recent story 'Super stength beer and white cider under fire'.
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