British MP Urges State to Cut Excise on Beer

By Steve Wynne-Jones
British MP Urges State to Cut Excise on Beer

A UK Liberal Democrat MP has told the Oireachtas committee that a reduction in excise duty on beer would be be good for the economy.

Greg Mulholland, MP for Leeds North West in England, spoke to the Oireachtas Jobs Committee with VFI chief Pádraig Cribeen, where he urged the Government to reduce the tax as it would stimulate investment and create employment.

According to the Irish Times, the MP told the committee that high tax burdens placed on British pubs after the financial crisis of 2008 damaged the industry. Since then, excise has been cut three times and has helped the British pub sector to thrive, with an extra £61 million invested and 26,000 jobs created.

This is, according to Mulholland, "clear evidence" that cutting taxes works. “It lowered the price of a pint by 16p, which resulted in 750 million more pints being sold,” he added.

Currently there is €22.55 worth of excise duty placed on beer exceeding 2.8 per cent ABV, about €1.28 for every pint of beer sold. The VFI has called for a reduction in excise duty, calling it "a tax on employment, a tax on consumers and a tax on tourism".