French Champagne dumped as English sparkling wine gets a boost with domestic tax cut from Rishi Sunak.

Focus has turned to English sparkling wine instead of French champagne, as Rishi Sunak is drafting new tax regulations that favour British exports. 


The UK’s complex alcohol tax structure is expected to undergo major reform under the Chancellor’s watch. He intends to reorganise the system in order to increase the sales of beverages brewed in the country. 

In the United Kingdom, alcohol is taxed in 15 distinct ways. 

There are six distinct tax rates for wine, compared to three for beer and five for cider. 

The Treasury intends to simplify and improve the current system by making many adjustments. 

Still wines with ABVs ranging from 5.5 percent to 15 percent are subject to a £2.98 per litre tax. 

However, sparkling wines with alcohol contents ranging from 8.5% to 15% are subject to a $3.81 tax. 

According to the Sunday Times, Mr Sunak wants to give English wines a boost in comparison to foreign imports while also scrapping the sparkling wine premium. 

As a result of the adjustments, sparkling wine would be 83p cheaper. 

On October 27, Mr Sunak is expected to make the announcements in his Budget speech.