SWA CEO uses speech to light a fire under the spirits sector

Chief Executive of the Scotch Whisky Association (SWA), Mark Kent, has used his keynote speech at the Scottish Distillers Conference to galvanise support for the Scotch Whisky industry’s campaign to freeze duty in the forthcoming Autumn Budget. The conference, held in Glasgow, gathers together spirits producers from across the country, all of whom distil products that are subject to a higher domestic excise tax than those of counterparts in the beer, cider or wine industries. 

Speaking to delegates, Mark Kent highlighted the industry’s “moment of crisis”, dogged on the world stage by the imposition of a 10% tariff on exports in the US, and at home by soaring excise duty on spirits, which “in plain words and the real world means job losses, investment plans put on hold or cancelled completely, and in some cases the viability of whole businesses put in jeopardy.” 

Mark Kent, SWA CEO

With less than four weeks until Chancellor Rachel Reeves delivers her Budget statement, Mark Kent called on Scotland’s distillers to add their voices to the growing calls for a spirits duty freeze, “let[ting] the government understand just how important the distilling sector is: a sector that with the right support will reap long term dividends.” In recent weeks the SWA has been joined by UKHospitality, the National Farmers Union of Scotland, the Scottish Chambers of Commerce and other business sectors and unions across the supply chain in a united ask of the Chancellor to freeze excise duty in the Budget. Recent figures published by the Treasury show that in the time since two successive tax rises were implemented, excise duty receipts have fallen short of expectations by over £600m. 

The speech also explored the recent UK-India FTA, reiterating the SWA’s comments earlier in the year that the deal was hugely positive for the Scotch Whisky sector long-term, but that distillers need domestic support now to be able to realise those potential gains.  

The Scotch Whisky industry contributes over £7bn in annual GVA, with exports worth £5.9bn in 2024. The UK – whose excise duty is the highest in the G7 – is Scotch Whisky’s fifth largest market. Over 70% of the price of a bottle of blended Scotch Whisky is now paid in tax, which the SWA has repeatedly says stifles growth, business confidence, and the success of the wider supply chain. 

“The spirits industry has a reputation for modesty and resilience, of buckling down and getting to work whatever the gale that is blowing” said Mark Kent in his closing lines. “But now is the time to be vocal so that the context in which the industry is working can be understood. The Scottish spirits industry is an essential part of communities around the country – employing skilled and enthusiastic people, bringing visitor footfall, investing in growth and putting Scotland and its high-quality spirits on the map. Now is the time for a clear message for the UK government to act, before the damage being done to our industry reverberates to the wider economy.” 

NOTES TO EDITORS

The Scotch Whisky Association’s Budget submission can be found here. 

Learn more about the SWA's excise duty campaign here.