Budget reaction: cider is being taxed for growth says drinks founder
Following this afternoon’s Budget announcement Orchard Pig – a Somerset cider company – founder Andrew Quinlan has recated with sceptisim.
Andrew comments: “Beer is down by 1p and the escalator has been scrapped, whilst cider is still on the escalator and is up by 2p a pint.
“Cider is being taxed for growth, innovation and job creation. It almost appears that, in theory, beer is being rewarded for the opposite. Again its the beer market that gets the favouritism in a tough market place.
“To put this in context we are well aware that beer tax for big brewers is more than cider tax for big cider manufacturers.
“Historically this has been because of the extra investment and time required to grow orchards and produce apples. Orchard growers struggle to grow their businesses based on the yield and apple prices they get, the investment they need to make and the time it takes for payback – harvest was awful last year.”