News

NTIA Expresses Anger Over the Increase in Alcohol Duty on the Night Time Economy Sector

• 31st Jul 2023

The Night Time Industries Association, a staunch advocate for businesses and industries, strongly condemns the government’s decision to increase alcohol duty on the night time economy sector.

The implementation of the planned alcohol duty increase today threatens to inflict severe damage on an already struggling industry that plays a crucial role in our nation’s economy and cultural vitality.

The night time economy sector, which comprises of bars, restaurants, pubs, clubs, and entertainment venues, has faced unprecedented challenges over the past few years. From enduring pandemic-related closures and restrictions to navigating financial hardships, businesses in this sector have demonstrated resilience and innovation in their efforts to survive and contribute to our society.

The planned increase in alcohol duty today will undoubtedly exacerbate the existing issues faced by these businesses, potentially leading to disastrous consequences:

• Destruction of Businesses: Many establishments in the night time economy sector were barely surviving before this punitive measure. The increase in alcohol duty threatens to be the final blow that pushes them over the edge, causing closures and resulting in the loss of countless jobs
• Burden on Consumers: Consumers, already facing financial strains, will be further burdened with higher alcohol prices, impacting their ability to enjoy social experiences and culture.
• Competitiveness: The increase in alcohol duty could render local businesses less competitive compared to neighbouring regions or online platforms, further eroding their chances of recovery and growth.
• Impact on Community: The night time economy is more than just a collection of businesses; it is a vital part of our community’s social fabric. It fosters connections, creativity, and cultural expression, which will be stifled by the weight of this unnecessary tax burden.
• Undermining Recovery Efforts: This increase comes at a time when businesses were trying to rebuild after a devastating pandemic. Rather than supporting their recovery, the government’s decision undermines the resilience and efforts of entrepreneurs and workers in this sector.

The NTIA urges the government to reconsider this detrimental action and engage in meaningful dialogue with industry representatives to understand the far-reaching consequences of this decision. 

We believe in the importance of balanced policy-making, and this arbitrary alcohol duty increase and structure fails to consider the broader implications for the night time economy and its stakeholders.

As an organization committed to the welfare of businesses and industries, we call on the government to seek alternative measures that promote growth, innovation, and job creation, rather than imposing regressive taxes that hinder economic progress.

Michael Kill CEO NTIA Says:

“The recent actions taken by decision-makers to implement the biggest single increase in alcohol duty in almost 50 years, coupled with the wilful withdrawal of support and the imposition of already excessive taxes, have ignited anger and frustration across the night time economy sector.” 

“From the withdrawal of non-domestic energy support to changes in the late-night levy, the withdrawal of regulatory easements and now the biggest increase in alcohol duty for several decades, the consequences of these decisions are becoming increasingly burdensome.”

“As a sector that has stood resilient in the face of unprecedented challenges, we cannot help but feel neglected by the very authorities we have supported during the pandemic crisis. The speed with which we seem to be forgotten is disheartening, especially given the pivotal role our businesses play in driving economic growth and fostering vibrant communities.”

“In times of crisis, our industry has always risen to the occasion, playing a vital role in rebuilding and supporting communities. We have demonstrated our resilience and dedication, but now we find ourselves facing a lack of consideration from those making crucial decisions affecting our future.”

“I urge decision-makers to recognize the profound impact of their actions and the ripple effects they will have on our industry, workforce, and society as a whole. We are not asking for special treatment but simply for fair consideration, understanding, and support as we navigate the road to recovery.”

“We need to find solutions that address the challenges faced by our sector, not squeeze the life out of it. Our industry is essential to the fabric of our communities, and a thriving night time economy benefits us all.”