The price of alcoholic drinks has lept in the past month, according to this week’s Key Value Items (KVI) tracker. Beer, wine and spirit brands all saw price hikes in the past month.
The price surges came as the government lifted its three-year alcohol duty freeze on 1 August. Levies on booze rose by 10.1% as a result.
The freeze ended at the same time as the UK government introduced a new alcohol duty rates system. The new system taxes drinks based on abv, meaning stronger drinks face higher rates.
As prices rise, data by Ipsos shows shoppers are likely to wait to buy alcohol on promotion and switch to cheaper alcoholic brands.
More information: Supermarket booze prices surge following alcohol duty hikes | KVI Tracker | The Grocer
