Clare Moody

MEP for the South West and Gibraltar

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UK Government must get serious over cider tax

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Speaking on BBC Radio Cornwall, Clare said today that the Government need to get serious about negotiations with the European Commission over a controversial tax exemption for cider producers.

The Commission has requested that the UK Government scrap an excise duty exemption for producers whose output is less than 7,000 litres a year, worth £2,500. 

In his summer budget, Chancellor George Osborne announced that he would not seek to repeal the exemption, and that Treasury officials were working on a solution with members of the Commission.

That announcement was warmly received by small scale producers across the south west, who fear that they could be forced out of business if the exemption is repealed. But in an interview for BBC Radio Cornwall this morning, Clare expressed concerns that the Government is simply playing politics with the issue.

In fact, Clare had attended a meeting with the Commission's top tax official about this very issue on 7 July 2015, the day before the Chancellor delivered his summer budget, where the Commission confirmed that the UK Government had ignored a request dating back to February for information in defence of the exemption.

To listen to the interview in full, click here.

 

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