How does Small Brewers Relief work under the new Alcohol Duty system, and what will the effective rate be for qualifying producers?

Small Brewers Relief (SBR) continues under the new duty rates, but the relief mechanism has changed. Rather than a simple 50% reduction on the standard rate, there is now a graduated formula that applies differently depending on your production volume.

**How to calculate your rate:** - The standard duty rate for beer 3.5–8.5% ABV is £21.01 per litre of alcohol - **Gov.uk calculator** — Use the official HM Revenue & Customs calculator at https://www.gov.uk/guidance/how-to-work-out-your-alcohol-duty-rates-if-youre-eligible-for-small-producer-relief, which inputs your product type and annual production volume to determine both the standard rate and your SBR rate - The guidance page includes worked examples showing how the relief is applied to different brewery sizes - Members confirmed that under the previous system, breweries producing under 5,000HL paid 50% of the standard rate, but the new system uses a formula-based approach (particularly for spirits, though the calculator handles beer separately)

**What you should do:** - Rather than assuming the old 50% relief applies, input your own figures into the gov.uk calculator to see your actual rate - The calculator is the authoritative source for your specific circumstances