Scotch whisky market declined 5 per cent in UK

The Scotch Whisky Association (SWA) today published analysis that revealed that the number of 700 ml bottles of Scotch released for sale in the UK last year was down 4.78 per cent to 83.3 million, from 87.5 million in 2013.

Another concern was that since 2009 the UK market for Scotch had shrunk by 9.5 per cent from 92 million bottles, figures from Her Majesty's Revenue and Customs (HMRC) revealed.

According to David Frost, Scotch Whisky Association chief executive, Scotch Whisky was a massive export success for the UK so it was obviously disappointing to see the decline in volumes in the domestic market.

The SWA said the ''onerous'' level of taxation applied to Scotch, which currently counted a 78 per cent share of the price of an average bottle was responsible for the decline.

Research published on behalf of the SWA this year showed the economic impact of Scotch Whisky, as the industry added £5 billion in value to the UK each year and supported over 40,000 jobs.

The SWA and The Wine and Spirit Trade Association have called on chancellor George Osborne to make a 2 per cent cut in alcohol duty.

The SWA said the domestic market had contracted by 9.5 per cent since 2009, down from 92 million bottles.

He said, in last years' budget, the chancellor highlighted Scotch whisky as a 'huge British success story' and added that in next week's budget the chancellor had the perfect opportunity to support an important UK industry.

Calling for a cut in spirits duty by 2 per cent, he said since the move would benefit consumers and public finances, the association hoped this year Osborne would show his support for this world-class manufacturing industry.