15 December 2014
Waveney MP Peter Aldous last week called for changes to the calculation of progressive beer duty relief to help the brewing industry export more.
 
Speaking in the House of Commons on 11th December, Peter asked the Secretary of State for Environment, Food and Rural Affairs, Liz Truss MP, what steps the Government has taken to support the brewing industry in exporting beer.
 
Peter was representing the interests of St Peter’s Brewery in St Peter South Elmham near Bungay, which as a past recipient of the Queen’s Award for Enterprise and International Trade, has successfully built up a successful export business to more than 30 countries and wants to grow further. However, smaller brewers are often penalised in their competitiveness when selling beer in the UK due to their total production being used to calculate their duty rate, whilst their overseas rate is duty suspended. For St Peter’s Brewery, this results in a duty rate which is 10% higher than if export production was excluded.
 
Having listened to the concerns expressed to him about the need to create a more level playing field for breweries, Peter urged for the calculation of Progressive Beer Duty relief to be reformed to allow businesses such as St Peter’s Brewery to realise their full potential.
 
In response, the Minister gave his reassurances that she would be pleased to work with both Peter and the Treasury to look at ways to relieve the burden of Progressive Beer Duty and encourage breweries to increase their exports. Having only last week visited Lowestoft to look at plans for a new tidal barrier, Liz Truss expressed her interest in visiting St Peter’s Brewery and sampling some of its fine ales.
 
With Britain’s breweries now exporting 1.1 billion pints to 113 countries every year, Peter believes it is important that the Government does all it can to facilitate this boost in beer exports and ensure fair opportunity for brewers across the UK. 
 
Commenting, Peter said:
“I welcome the Minister’s commitment to look at the financial burdens of exporting for smaller brewers and look forward to working with her and the Treasury to see if a solution can be found.”