Ask the Collective
The questions independent drinks founders ask most — answered. Distilled from years of community knowledge so the good stuff never disappears in the feed again.
What happened to consumer prices, distributor margins and sales volumes when alcohol tax was removed, and what should we expect if it's reinstated?
When tax was removed previously, **most retailers did not pass savings on to consumers** — prices stayed the same rather than dropping. This suggests that if tax is reinstated, increases will likely be **passed directly to end customers rather than absorbed by distributors**. Members expect distributor margins to remain relatively stable, with the tax burden flowing through to the till price. The actual impact on sales rates remains unclear from available data; members noted this is largely anecdotal consumer observation rather than industry-wide analysis. One member indicated they had a contact with potential insight into the mechanics, though no detailed findings were shared in the discussion.
Does bag-in-box qualify for UK draught alcohol duty relief?
Bag-in-box products do **not** qualify for draught duty relief under current UK rules. The draught relief scheme requires: - A **pump system and gas pressurised drinks tap** (not bag-in-box delivery) - Minimum **20 litres** per container - For cocktails specifically, a maximum ABV of **8.5%** Members confirmed that bag-in-box falls outside these technical requirements, so it cannot access the duty discount even if it meets other criteria. The relief is designed for products dispensed through traditional draught systems (kegs with tap systems), not flexible packaging.