The comments, which come less than a month after UKHospitality revealed that almost half of all job losses since the last Budget were in hospitality, are in support of the Scotch whisky industry’s push for the Chancellor to freeze spirits duty this Autumn. Both sectors say that a pledge for no further duty increases for the rest of the Parliamentary term would boost confidence that the UK government is fighting the corner of businesses across the supply chain.

The Scotch whisky industry recently revealed it has shed 1,000 jobs since the last Budget, 2.7% of all those directly employed by the sector. The SWA says that Excise duty, which has risen by 14% in just two years, is largely to blame for industry cuts, combined with global headwinds including tariffs in the US market. Scotch whisky and other spirits face the highest tax burden of all alcohol categories, and the highest rate in the G7.  

Mark Kent, SWA chief executive, said: “Our businesses are facing pressure like never before. Across Scotch whisky production and hospitality, we’re seeing cuts to jobs and investment which are a result of challenges both at home and around the world.

“The government pledged to support our industry, but distillers now face multiple barriers to doing business, making them uncompetitive and vulnerable to the impact of headwinds domestically and abroad. 

“An excise duty freeze is in the Chancellor’s gift to deliver – which would in turn give respite for businesses, and deliver Treasury revenue, which the government’s own figures show has flatlined since the first duty rise was confirmed.  

“For Scotch whisky producers, hospitality is crucial, and they know the importance of a warm welcome to Scotland’s national drink. We are united with the hospitality industry in our call for those words of support we heard from the Prime Minister during the election campaign to translate into urgent action in November’s Budget.” 

Allen Simpson, chief executive of UKHospitality, said: “As we head towards the Budget, it’s clear that businesses across the supply chain need urgent support to survive.

“We’ve seen swathes of job losses across the hospitality sector, which is the backbone of the UK’s economy and wider society. We know hospitality’s disproportionate tax burden impacts the entire sector, from pubs and bars to distillers and other producers. 

“That’s why we’re supporting the Scotch whisky industry’s call for a long-term duty freeze, which would help to alleviate some of the pressures facing the hospitality supply chain. 

“We hope the Chancellor will heed the warnings of our combined sectors in November’s Budget, and deliver on the UK Government’s promises of support while boosting economic benefit for the Treasury in return.”