Budget 2017 – Price of pint of beer, wine and spirits FROZEN but cigarettes and tobacco to rise
The Chancellor today announced a freeze on duty prices for beers, wine and spirits - but a pack of 20 cigarettes will rise by 28p
DRINKERS have been given a gift in today's Budget as the Chancellor Philip Hammond announced duty will be frozen on beer, wine and spirits.
Smokers will have to 28p more for a pack of 20 cigarettes, pushing up the price of a premium pack of fags to £10.80
While an average pack of fags, such as Lambert & Butler, will go up to £9.30.
The changes take effect from 6pm tonight.
This is because the Chancellor announced a rise of two per cent above inflation.
Hand rolling tobacco will also increase by an extra per cent.
The tobacco industry last week voiced concerns that the Chancellor would use the Budget to increase the amount of tax raised from sales of tobacco.
The Chancellor pushed up a pack of 20 by 35p in the last budget and the industry has also been hit by other hikes.
As a result, the average cost of a premium pack of 20 cigarettes now stands at £9.91 in the UK, according to the Tobacco Manufacturers' Association (TMA).
The TMA now estimates the Government could push the price of a pack of 20 above £10.
In March, the Chancellor promised to increase fuel duty in line with inflation or 3.9 per cent.
The first hike in five years has seen an increased strain on local pubs - with wine up by 8p, vodka up by 40p and gin by 43p.
Britain's alcohol is among the most heavily taxed in the world - with the third highest duty rate for wine, and fourth-highest for spirits.
Pubs across the UK have still been closing at the rate of 23 a year, despite years of tax cuts and freezes under George Osborne.
Budget 2017: Key points at a glance
CHANCELLOR Philip Hammond has delivered his second Budget as Chancellor. Here are the key points:
- Stamp Duty: Stamp duty to be abolished immediately for first-time buyers purchasing properties worth up to £300,000.
- Living Wage: The National Living Wage will rise from £7.50 to £7.83 for those aged 25 and over from April.
- Diesel cars: New £500 diesel road tax from April next year.
- Booze: Duty on beer, wine, spirits and most ciders has been frozen.
- Plastic Plan: Takeaway boxes and bubble wrap are to be taxed in an attempt to tackle the growing usage of single-use plastics.
- Crackdown on tech giants: Tech giants like Apple, Google and Spotify may have to pay tax on royalty payments.
- New railcard for under 30s: Hammond confirmed a new railcard for 16-30 year-olds which will give a third off fares.
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