'Scrooge has come early' says Jersey hospitality

The government's 2024-2027 plan includes an 8.9% rise in alcohol duty and a 10.9% rise in tax on fuel, adding about 7p per litre

The body representing Jersey's hospitality industry has branded the government's budget proposals, "mean" and "full of tired ideas".

The government is considering raising alcohol duty by 8.9% in a bid to tackle high rates of alcohol consumption.

The Jersey Hospitality Association (JHA) wants alcohol duty to be zero-rated as it says a rise will force pubs and bars to raise prices or shut.

However, the Government of Jersey said duty was frozen in 2021 and 2023.

Its plan for 2024-2027 was released last week and includes increasing tax thresholds and support for low-income families as well as the duty rise - equal to about an extra 4p on a pint of beer.

The JHA has also called on the government to abandon plans to introduce liquid waste charges which it claims would "hit hospitality harder than any other business sector".

Marcus Calvani, Co-CEO of the JHA, said: "Rather than tackling the high rates of alcohol consumption it refers to through education and cultural change, the excise increases will stop people drinking in the safe and controlled environment of hospitality venues, forcing them to shop in off-licences and duty free.

"The JHA can only conclude that Scrooge has come early this year and that he's brought the fun police with him as the government is not serious when it claims it is helping hospitality businesses."

The Minister for Treasury and Resources, Deputy Ian Gorst responded by pointing out that duty on alcohol had been kept low for the past three years.

"Meetings are already planned to discuss the concerns they [the JHA] have raised, including the fact that alcohol duty was frozen in 2023 as part of the cost of living mini-budget and frozen in 2021, and held below inflation in 2022," Mr Gorst said.

"It is proposed for 2024 to uprate at two percentage points below inflation.

"I am aware, as is the JHA, that we must balance the need to raise revenues, maintain health policy and support the hospitality industry."