Has Labour Left the Scotch Whisky Industry High and Dry?

In July of this year, we produced an article on the back of the newly elected Labour Government. It detailed how the Scotch Whisky Association had lobbied the government to take action in negating the appalling economic effects felt by the Scottish Whisky industry following the outrageous 10.1 per cent tax hike in 2023. If you missed it, click here to read.

We included a lovely photograph of Sir Keir walking through the warehouse at InchDairnie Distillery, Glenrothes, where he looked both thoughtful and concerned.

We think perhaps hope ran high that as Sir Keir had clearly stated in his manifesto that;

“We will maximise Scotland’s influence using the UK’s footprint on the global stage to promote Scottish businesses, boost exports, and attract investment to create jobs.”

“A Labour government in Westminster will have Scotland at its heart, working to deliver the change our country needs.”

Maybe he might actually follow through on his promise…. Unfortunately, he didn’t.

The Scotch Whisky Association’s reaction

Mark Kent, Chief Executive of the SWA says this tax hike serves no economic purpose and that “It will damage the Scotch Whisky industry, the Scottish economy, and undermines Labour’s commitment to promote ‘Brand Scotland’

Given that the 10.1 per cent rise in 2023 resulted in a Treasury loss of £298 million in just one year, one has to question the rationale for this decision.