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Following two months of inquiry, the All Party Parliamentary Beer Group has published its report into Beer Tax Fraud.  Please click here to download a copy of the report.

The panel of backbench MPs and Peers investigating the issue looked at the nature, scale and impact of beer duty fraud in the UK, in light of HMRC’s recent consultation "Alcohol Fraud. Legislative measures to tackle existing and emerging threats to the UK alcohol duty regime".

The report was launched on 16 July 2012, by co-chairs Andrew Griffiths MP and John Healey MP.   Andrew Griffiths MP, said “Smuggling beer into the UK from France has become a highly profitable business.  As our duty differentials have increased, so, it appears, has the scale of the trade in illicit beer.  We’re not talking about chancers on day trips in white vans, so much as organised criminal gangs shipping lorry loads of beer through Dover every night, and netting £18,000 in duty alone, each time. It’s hurting legitimate businesses, as it’s undercutting them on its way into the supply chain, and once it has permeated the UK market some retailers are stocking it unwittingly, and risking their licences and livelihoods in the process. We came to the conclusion that introducing duty stamps would limit choice, add complexity and confusion, and possibly face a challenge in the European Union”.

Rt Hon John Healey MP, Co-chair, said “With perhaps one in ten cans and bottles of beer on sale in the UK not tax paid, it’s clear that the current system is failing to keep beer smuggling in check. New measures are needed, but the evidence we heard points to the current proposals for tax stamps as being neither proportionate nor targeted, and not necessarily effective.”   He continued “There’s some dispute about the size of the problem to be tackled, and we hope our report will spur all authorities and all businesses with an interest in disrupting the fraud now to work together closely to develop an agreed methodology for assessing it, and to collaborate to defeat it.  We’re calling on all parties to up their game together”.  

For notes of the evidence heard by the panel, please click on the relevant day's hearing under the 'Timetable and Evidence' tab.

For a copy of the full press release please click here

If you have any queries concerning the report or inquiry, please use the contact form or email Robert Humphreys, Secretary to the APPBG, at humhreysr@parliament.uk