SUNDAY MAIL EXCLUSIVE: Scotland's small gin distilleries are struggling to survive a "perfect storm" of headwinds in the sector. Get the latest top news stories sent straight to your inbox with our daily newsletter We have more newsletters Get the latest top news stories sent straight to your inbox with our daily newsletter We have more newsletters Dozens of once thriving small Scottish gin distilleries could go bust if alcohol tax is hiked in the budget, industry experts have warned. Chancellor Rachel Reeves is said to be considering increasing booze duties in next month’s budget which could raise an extra £800 million as part of a plan to restore the public finances.
But Pal Gleed, director of the The Gin Guild, has highlighted the plight of around 90 small gin businesses north of the border, many of which are already fighting for survival. He said: “It is a very concerning time for many of our members in Scotland and beyond. “They have been hammered by a record 10per cent rise in alcohol duty on spirits last year, crippling repayments on the Coronavirus Business Interruption Loan Scheme , reduced public confidence brought on by the cost-of-living crisis and huge energy bills.
“It’s a perfect storm which has come at gin producers from all angles, and is hurting producers of all sizes. “The last duty rise was the biggest for 50 years and has had a hugely detrimental effect. ‘We’re urging the new Labour Government to show support for our industry and not deal.