Skip to content
Search
AI Powered
Latest Stories

Scotch whisky distillers expect costs to double in next 12 months: survey

Scotch whisky distillers expect costs to double in next 12 months: survey
Whisky casks are seen stacked up at Speyside Cooperage on January 19, 2022 in Craigellachie, Scotland. (Photo by Peter Summers/Getty Images)
Getty Images

The Scotch Whisky Association (SWA) has called on the new prime minister and chancellor to back the industry in the Autumn Budget by cancelling the planned double-digit tax increase.

The call comes as a new survey conducted by the trade body found that over half of Scotch whisky distillers have seen their costs double in the last 12 months and expect further increases in the next year.


“The industry is delivering much needed growth for the UK economy through investment, job creation and rising revenue to the Treasury. But this survey reveals that distillers are investing in growth despite the economic headwinds and rising costs on business,” Mark Kent, chief executive of the SWA, said.

The survey found that 57 percent of distillers have seen energy costs increase by more than ten percent in the last year, with nearly a third (29 percent) seeing their energy costs double. Nearly 40 percent of businesses, which produce the UK’s number one food and drink export, reported shipping costs doubling in the last 12 months, with 43 percent also reporting supply chain cost rises of more than 50 percent.

The survey also found most distillers see costs rising further over the next year, with 57 percent of businesses expecting energy costs to go up by a further 50 percent and nearly three quarters (73 percent) anticipating another 50 percent increase in shipping costs.

However, despite rising costs, the industry expects to continue to invest in operations and supply chain. 57 percent of distillers reported an increase in their number of staff in the past 12 months, with all respondents expecting to need to add to their workforces in the coming year.

“The industry has shown remarkable resilience, but this cannot be taken for granted. We are at a critical juncture for many of our members. The Autumn Budget must support the Scotch Whisky industry which is a crucial driver of growth in the economy, particularly across Scotland,” Kent said, noting that the tax burden on the average priced bottle of Scotch whisky already sits at 70 per cent due to high rates of spirits duty. .

“UK excise duty on Scotch whisky and other spirits is already one of the highest in the world, and we call for there to be no spirits duty increase in the budget. Any such increase would compound the cost of business pressures companies are facing, add at least 95p of duty alone onto every bottle of Scotch whisky, and further fuel inflation.”

More for you

A woman enters the Selfridges department store

A woman enters the Selfridges department store on December 13, 2024 in London, England

Photo by Leon Neal/Getty Images

Retail faces mixed fortunes in 2025 amid cost pressures, AI opportunities, and high street revival


The UK retail sector is bracing for a challenging but opportunity-filled 2025, according to Jacqui Baker, head of retail at RSM UK. While the industry grapples with rising costs and heightened crime, advancements in artificial intelligence and a revival of the high street offer potential pathways to growth, she said.

Keep ReadingShow less
unsafe soft drinks seized in Southend

Unsafe soft drinks seized in Southend

Photo: Southend-on-Sea City Council

1,100 unsafe soft drinks seized in Southend safety crackdown

Southend-on-Sea City Council officials have secured food condemnation orders from Chelmsford Magistrates Court, resulting in the seizure and destruction of 1,100 unauthorised soft drinks.

The condemned drinks, including Mountain Dew, 7-UP, Mirinda, and G Fuel energy drinks, were found during routine inspections of food businesses across Southend by the council’s environmental health officers.

Keep ReadingShow less
Charity Super.Mkt at Brent Cross Shopping centre in north London

A customer browses clothes inside Charity Super.Mkt at Brent Cross Shopping centre in north London on, December 17, 2024

Photo by JUSTIN TALLIS/AFP via Getty Images

Brits kindle Christmas spirit with second-hand gifts

Bursting with customers one afternoon the week before Christmas, a second-hand charity shop in London's Marylebone High Street looked even busier than the upscale retailers surrounding it.

One man grabbed two puzzle sets and a giant plush toy as a present for friends, another picked out a notebook for his wife.

Keep ReadingShow less
Nothing is more important than your Mental Elf

Nothing is more important than your Mental Elf

Lancashire Mind’s 11th Mental Elf fun run was its biggest and best yet – a sell-out event with more than 400 people running and walking in aid of the mental charity, plus dozens more volunteering to make the day a huge success.

The winter sun shone on Worden Park in Leyland as families gathered for either a 5K course, a 2K run, or a Challenge Yours’Elf distance which saw many people running 10K with the usual running gear replaced with jazzy elf leggings, tinsel and Christmas hats.

Keep ReadingShow less
A woman walks past a window display promoting an ongoing sale

A woman walks past a window display promoting an ongoing sale, on December 13, 2024 in London, England.

Photo by Leon Neal/Getty Images

Retail sales disappoint before Christmas

UK retail sales rose less than expected in the runup to Christmas, according to official data Friday that deals a fresh blow to government hopes of growing the economy.

Separate figures revealed a temporary reprieve for prime minister Keir Starmer, however, as public borrowing fell sharply in November.

Keep ReadingShow less