# Finance Act 2025, Section 63: Rates of alcohol duty

Extent: E+W+S+N.I.

(1) Part 2 of F(No.2)A 2023 (alcohol duty) is amended as follows.
(2) For Schedule 7 (main rates) substitute—
“Schedule 7
Rates of alcohol duty
TABLE 1
Alcoholic strength of alcoholic product
Rate of duty per litre of alcohol in the product
Less than 3.5%
£9.61
At least 3.5% but less than 8.5%
See Table 2
At least 8.5% but not exceeding 22%
£29.54
Exceeding 22%
£32.79
TABLE 2
Description of alcoholic product (of an alcoholic strength of at least 3.5% but less than 8.5%)
Rate of duty per litre of alcohol in the product
(a) Still cider
(b) Sparkling cider of an alcoholic strength not exceeding 5.5%
£10.02
Beer
£21.78
(a) Spirits, wine and other fermented products
(b) Sparkling cider of an alcoholic strength exceeding 5.5%
£25.67
”.
(3) For Schedule 8 (reduced rates for qualifying draught products) substitute—
“Schedule 8
Qualifying draught products: reduced rates
Description of alcoholic product
Rate of duty per litre of alcohol in the product
Alcoholic products of an alcoholic strength of less than 3.5%
£8.28
(a) Still cider of an alcoholic strength of at least 3.5%
(b) Sparkling cider of an alcoholic strength of at least 3.5% but not exceeding 5.5%
£8.63
(a) Beer, spirits, wine and other fermented products of an alcoholic strength of at least 3.5% (but less than 8.5%)
(b) Sparkling cider of an alcoholic strength exceeding 5.5%
£18.76
”.
(4) For Schedule 9 (duty discount for small producer alcoholic products)—
“Schedule 9
Small producer alcoholic products: duty discount
Part 1
Alcoholic products, other than qualifying draught products, of an alcoholic strength of less than 8.5%
Alcoholic products, other than spirits, of an alcoholic strength of less than 3.5%
Discount band
Start threshold (hectolitres)
End threshold (hectolitres)
Marginal discount (£)
Cumulative discount (£)
1
0
5
9.61
-
2
5
50
2.44
48.05
3
50
100
1.47
157.99
4
100
200
0.49
231.28
5
200
600
-
280.15
6
600
1000
-
280.15
7
1000
4500
-0.08
280.15
Spirits of an alcoholic strength of less than 3.5%
Discount band
Start threshold (hectolitres)
End threshold (hectolitres)
Marginal discount (£)
Cumulative discount (£)
1
0
5
6.35
-
2
5
50
2.44
31.76
3
50
100
1.47
141.70
4
100
200
0.49
214.99
5
200
600
-
263.86
6
600
1000
-
263.86
7
1000
4500
-0.08
263.86
Still cider of an alcoholic strength of at least 3.5%; sparkling cider of an alcoholic strength of at least 3.5% but not exceeding 5.5%
Discount band
Start threshold (hectolitres)
End threshold (hectolitres)
Marginal discount (£)
Cumulative discount (£)
1
0
5
10.02
-
2
5
50
2.55
50.10
3
50
100
1.53
164.78
4
100
200
0.51
241.24
5
200
600
-
292.21
6
600
1000
-
292.21
7
1000
4500
-0.08
292.21
Beer of an alcoholic strength of at least 3.5%
Discount band
Start threshold (hectolitres)
End threshold (hectolitres)
Marginal discount (£)
Cumulative discount (£)
1
0
5
19.94
-
2
5
112.5
11.08
99.68
3
112.5
225
9.97
1290.33
4
225
450
5.54
2411.75
5
450
900
3.32
3657.77
6
900
1350
-
5153.00
7
1350
4500
-1.64
5153.00
Wine and other fermented products of an alcoholic strength of at least 3.5%; sparkling cider of an alcoholic strength exceeding 5.5%
Discount band
Start threshold (hectolitres)
End threshold (hectolitres)
Marginal discount (£)
Cumulative discount (£)
1
0
5
25.67
-
2
5
50
2.61
128.35
3
50
100
2.61
245.84
4
100
200
1.31
376.37
5
200
600
-
506.91
6
600
1000
-
506.91
7
1000
4500
-0.14
506.91
Spirits of an alcoholic strength of at least 3.5%
Discount band
Start threshold (hectolitres)
End threshold (hectolitres)
Marginal discount (£)
Cumulative discount (£)
1
0
5
20.89
-
2
5
50
2.61
104.43
3
50
100
2.61
221.92
4
100
200
1.31
352.46
5
200
600
-
483.00
6
600
1000
-
483.00
7
1000
4500
-0.14
483.00
Part 2
Qualifying draught products of an alcoholic strength of less than 8.5%
Alcoholic products, other than spirits, of an alcoholic strength of less than 3.5%
Discount band
Start threshold (hectolitres)
End threshold (hectolitres)
Marginal discount (£)
Cumulative discount (£)
1
0
5
8.28
-
2
5
50
2.11
41.40
3
50
100
1.26
136.13
4
100
200
0.42
199.28
5
200
600
-
241.38
6
600
1000
-
241.38
7
1000
4500
-0.07
241.38
Spirits of an alcoholic strength of less than 3.5%
Discount band
Start threshold (hectolitres)
End threshold (hectolitres)
Marginal discount (£)
Cumulative discount (£)
1
0
5
5.47
-
2
5
50
2.11
27.37
3
50
100
1.26
122.09
4
100
200
0.42
185.24
5
200
600
-
227.34
6
600
1000
-
227.34
7
1000
4500
-0.06
227.34
Still cider of an alcoholic strength of at least 3.5%; sparkling cider of an alcoholic strength of at least 3.5% but not exceeding 5.5%
Discount band
Start threshold (hectolitres)
End threshold (hectolitres)
Marginal discount (£)
Cumulative discount (£)
1
0
5
8.63
-
2
5
50
2.20
43.15
3
50
100
1.32
141.93
4
100
200
0.44
207.78
5
200
600
-
251.68
6
600
1000
-
251.68
7
1000
4500
-0.07
251.68
Beer of an alcoholic strength of at least 3.5%
Discount band
Start threshold (hectolitres)
End threshold (hectolitres)
Marginal discount (£)
Cumulative discount (£)
1
0
5
17.17
-
2
5
112.5
9.54
85.86
3
112.5
225
8.59
1111.41
4
225
450
4.77
2077.34
5
450
900
2.86
3150.59
6
900
1350
-
4438.49
7
1350
4500
-1.41
4438.49
Wine and other fermented products of an alcoholic strength of at least 3.5%; sparkling cider of an alcoholic strength exceeding 5.5%
Discount band
Start threshold (hectolitres)
End threshold (hectolitres)
Marginal discount (£)
Cumulative discount (£)
1
0
5
18.76
-
2
5
50
1.91
93.80
3
50
100
1.91
179.66
4
100
200
0.95
275.06
5
200
600
-
370.46
6
600
1000
-
370.46
7
1000
4500
-0.11
370.46
Spirits of an alcoholic strength of at least 3.5%
Discount band
Start threshold (hectolitres)
End threshold (hectolitres)
Marginal discount (£)
Cumulative discount (£)
1
0
5
15.26
-
2
5
50
1.91
76.32
3
50
100
1.91
162.18
4
100
200
0.95
257.58
5
200
600
-
352.98
6
600
1000
-
352.98
7
1000
4500
-0.10
352.98
”.
(5) In consequence of the amendments made by the preceding subsections of this section, in Schedule 2 to the Travellers’ Allowances Order 1994 (which provides in certain circumstances for a simplified calculation of excise duty on goods brought into Great Britain)—
(a) in the entry relating to beer, in the second column, for “£0.88” substitute “£0.91”,
(b) in the entry relating to still wine, in the second column, for “£3.28” substitute “£3.40”,
(c) in the entry relating to sparkling wine, in the second column, for “£3.28” substitute “£3.40”,
(d) in the entry relating to cider, in the second column, for “£0.44” substitute “£0.46”,
(e) in the entry relating to sparkling cider of an alcoholic strength not exceeding 5.5% by volume, in the second column, for “£0.44” substitute “£0.46”,
(f) in the entry relating to sparkling cider of an alcoholic strength exceeding 5.5% but less than 8.5% by volume, in the second column, for “£1.73” substitute “£1.80”,
(g) in the entry relating to other fermented products, in the second column, for “£3.28” substitute “£3.40”, and
(h) in the entry relating to spirits, in the second column, for “£11.88” substitute “£12.30”.
(6) The amendments made by this section are treated as having come into force on 1 February 2025.

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Source: https://www.legislation.gov.uk/ukpga/2025/8/section/63 (the official version)
Page: https://openlegislation.uk/finance-act-2025/section-63
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.