EXCISE DUTY ON WINE

Motion Text

That this House urges the Chancellor to remove the 8 per cent. duty increase on wine imposed in the Budget to offset the reduction in value added tax (VAT); notes that failure to do so will result in the wine trade being hit by two similar tax increases when VAT returns to 17.5 per cent. in January 2010; further notes that wine duty has risen 20 per cent. since March 2008 and that this has worsened conditions for the UK wine trade, which is already suffering from a challenging economic situation and unfavourable exchange rates; and further urges the Chancellor to support this important sector.