Moray West, Nairn and Strathspey MP set to challenge Scotch whisky tariffs at Westminster debate
An SNP MP representing a key whisky-producing area has secured a Westminster debate on Government support for the Scotch Whisky industry.
Graham Leadbitter, whose Moray West, Nairn and Strathspey constituency is home to Speyside Malts and one-third of Scotland’s whisky distilleries, will use the debate today (Wednesday, February 12) to challenge the UK government’s recent hikes to alcohol duty, and to encourage Labour to do more to support the world-renowned industry.
Research from the Scotch Whisky Association previously reported that after the previous Tory government raised taxes on whisky products in 2023, tax revenue raised by the industry fell by £300 million.
Despite the cost to the public, cross-party efforts to reduce taxes, and the Prime Minister’s own pre-election promise to back the industry ‘to the hilt’, alcohol duty was raised again in the Chancellor’s budget, piling extra costs onto distilleries.
Commenting, Graham Leadbitter MP said: “I'm delighted to have secured this debate on Scotch Whisky where the SNP will put our national drink and world-class industry first.
Any Scottish MPs worth their salt will join us in demanding the best for our industries.
“But unfortunately our support for Scotch Whisky isn’t shared by the Labour Government, whose punitive tax regime doesn’t just have the industry over a barrel, but is costing the UK Treasury hundreds of millions in lost revenue.
“When the last Tory government hiked whisky duty, tax revenue raised by the industry fell by £300 million. The sensible option, both for supporting Scotch Whisky and Treasury receipts would have been to cut Whisky Duty, instead the Labour party raised it again.
“Economically illiterate moves like that are even more concerning now that the industry faces growing costs, and the prospect of Trump tariffs which will limit sales of Whisky in one of its most important markets. “So far Westminster has shown itself to be no friend of the whisky industry, but it can, and should, turn that around by taking heed of the warnings I’ll deliver in this debate, as well as the analysis from experts like the Scotch Whisky Association.
“We’re fortunate in Scotland to be home to the finest Whisky brands in the world. We recognise the economic benefits and soft power that comes with that, the rest of the world recognises it, it’s time now for Westminster to recognise it too.”
When previous tariffs came into effect in 2019 The Scotch Whisky Association (SWA) reported a “stark” and immediate 25 per cent drop in exports to the US for the final quarter of 2019.
Leadbitter, who is also a Vice-Chair of the APPG on Scotch Whisky, will also warn about the impact of potential tariffs imposed by Donald Trump’s administration, with spirits giant Diageo recently warning another round of tariffs could cost them £161 million in profits in their Mexico and Canadian brands alone.
A former CEO of Whyte & Mackay and the owners of Ballindalloch Distillery in the constituency have also raised serious concerns about any potential tariffs.
