Excise Duties Reliefs

Dáil Éireann Debate, Tuesday - 23 October 2012

Tuesday, 23 October 2012

Questions (193)

Kevin Humphreys

Question:

193. Deputy Kevin Humphreys asked the Minister for Finance if his attention has been drawn to the fact that the UK has introduced an escalator on the excise duties that applies to alcohol and tobacco excess duties equal to the Retail Price Index, similar to our Consumer Prince Index, and a further percentage increase, 2% on alcohol, 5% on tobacco, on an annual basis up to 2014; if he has considered such a measure here; and if he will make a statement on the matter. [46456/12]

Written answers

Minister for Finance (Deputy Michael Noonan)

I am aware of the introduction, in March 2008, by the Chancellor of the Exchequer in the UK, of a four year tax escalator under which the duty rate on all alcoholic drinks was set to increase by a fixed rate above the rate of inflation (which has been extended for a further two years), and in 2011 for a similar escalator for tobacco excise. Any decision with regard to alcohol and tobacco taxation will be made in the context of Budget deliberations.