U.K. Alcohol Duty Receipts Rose to £2.9 Billion in the Second Quarter

HMRC reported higher collections than a year earlier, offering a closely watched signal for drinks producers and hospitality businesses

2026-07-22

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U.K. alcohol duty receipts reached £2.9 billion from April through June 2026, according to the latest monthly bulletin from HM Revenue and Customs, rising from £2.7 billion in the same quarter a year earlier.

The figures were published as part of HMRC’s regular update on tax receipts and National Insurance contributions across the country. Overall HMRC tax receipts for April to June totaled £157.2 billion, giving fresh detail on how major revenue streams performed at the start of the financial year.

The increase in alcohol duty collections comes at a time when producers, importers, distributors and hospitality operators are watching tax data closely for signs about demand, pricing and pressure on margins. Duty receipts do not by themselves show whether people are drinking more, paying higher prices or shifting between categories, but they are an important official measure for businesses tied to beer, wine, spirits and other drinks sold in the U.K.

HMRC said income tax receipts for the quarter were £63.6 billion, up 5% from the same period last year. National Insurance contributions totaled £58.4 billion, a 4% increase. VAT receipts came to £29.7 billion, which HMRC described as a slight increase compared with the previous year.

Elsewhere in the bulletin, corporation tax receipts were £8.8 billion, down 3% year over year, while capital gains tax receipts fell 9% to £3.1 billion. Business rates brought in £4.3 billion, with collections broadly steady from a year earlier.

Among other excise-related categories, tobacco duty receipts reached £5.1 billion, a small increase from the same quarter in 2025. Fuel duty receipts were £3.7 billion, down 2%. Stamp Duty Land Tax receipts were £2.3 billion, similar to the prior-year period, and annual tax on enveloped dwellings remained stable at £45 million.

For the drinks sector, the alcohol duty figure is likely to be read alongside broader market conditions that include inflation, consumer spending patterns and trading performance in pubs, bars, restaurants and retail. A rise in receipts can reflect stronger sales values or changes in taxable volumes, but it can also point to how tax policy is feeding through supply chains and shelf prices.

HMRC’s bulletin is designed to provide monthly and quarterly information on the government’s main tax heads and contribution streams. The release covers the current financial year and compares results with earlier periods to show short-term shifts in public revenue and parts of the wider economy.

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