UK Wine Duty 2012...up by 10p per bottle.

The chancellor of the exchequer is currently standing at the dispatch box in the Houses of Parliament trying to balance the books of the UK economy. Often there are announcements that are concealed or wrapped up in political speech, which ultimately confuse us.
I am trying to get some clarity:

The announcement of no increase in duty on wine is very misleading. The previously announced increase was 2% above the current inflation rate (which is 3.4% at end of February 2012). This announcement was made by the Labour government back in the budget of June 2010.
Duty for still wine(less than 15% alcohol) until today was £21.71 per case of 12, or £1.81 per bottle.
If this goes up by 5.4% then the new rates will be £22.88 per case of 12, or £1.91 per bottle.

In effect this means that a bottle of wine that retails at £5.99 in the UK with a standard margin for the retailer (of 25%) and transport costs (from vineyard to UK warehouse taken as £5 per case) will have to cost €1.70 per bottle from the producer (in Europe).
The tax element of a £5.99 bottle in the UK is £3.11 (£1.91 duty, £1.20 vat (on the selling price))

I might have totally cocked up my maths! But hopefully this is more detailed and useful than the political mumbo jumbo.

UK Wine Tax Problems

Interesting article in the Telegraph here.
The current UK taxes are extremely punitive. The government will undoubtedly raise taxes further this coming Wednesday during the Budget. There is talk of a 5% rise or even more. So that would be c 30% tax increase in the last year.
It is difficult enough selling Australian wine (30% swing on the currency in the last 18 months) and also European wine (the Euro is strong against the Pound).
The recession also does not help...slow payments and bad debts and companies closing.
I am always positive and we are still trading away. We have to diversify here.
The next 12 months will see more rationalization and change in the wine trade. Survival of the fittest!
Whilst at the same time we are selling more and more fine wine from Bordeaux. There is genuine interest from the UK trade and collectors (and investors) for the 2009 Bordeaux wines, which I will be tasting thoroughly in the next fortnight.

Drinking alcohol makes you fat!

This headline could also be....'Light exercise makes you feel more healthy'.

It is definitely the 'silly season' just before a budget. The UK government desperately needs to raise taxes to fund their inefficiencies. Alcohol is an immediate easy tax.

According to a recent article in the Telegraph these are the worrying statistics:

Large glass (250ml) of average strength red wine = 214 calories = one bag of Cheesy Wotsits.

A bottle of average strength red wine = 644 calories = 14 jaffa cakes or McDonald's Cheeseburger and medium fries.

Large glass of medium dry white wine = 190 calories = two and a half digestive biscuits.

Bottle of medium dry white wine = 570 calories = chicken with cashew nuts and egg fried rice.

One pint of premium lager = 330 calories = one four ounce fillet steak

One pint of cider = 200 calories = one KFC chicken drumstick

Large Bailey's (100ml) = 320 calories = one Snickers bar

One shot (25ml) of vodka or gin = 55 calories = one 25ml serving of single cream

(in may cases I would rather drink the alcohol!!!)