Hundreds of small cider producers across the West of England could be put out of business if they are forced to pay excise duty under a new EU ruling, campaigners claim.
Cider makers who produce less than 70 hectolitres a year – around 33 pints a day – and have sales under £10,000 are exempt from paying £2,700 in annual excise duty.
But the European Commission has demanded that the UK Government abolish the exemption, which has been in place since 1976.
The Campaign for Real Ale (CAMRA) says such a move could devastate the UK cider industry – making small-scale production of traditional ciders uneconomic and sounding the death knell for hundreds of acres of apple orchards. It estimates that around 400 of Britain’s 500-plus cider makers are small producers.
CAMRA has gathered 26,000 signatures on a petition calling for the exemption to stay. It was handed in to No 10 Downing Street by Somerton & Frome MP David Warburton, who said: “Somerset is undoubtedly the cider capital of the world, defined by this uniquely English tipple which is often produced by local micro-breweries. The current exemption from tax for our small-scale cider producers in a key factor in helping promote the growth and prosperity of this modest but vibrant industry.
“Countless micro-breweries in Somerset would be affected by the proposed action from the EU, making small-scale production uneconomical and leading to wide-spread closures of our successful local cider-producing businesses. This simply cannot be allowed to happen.”
CAMRA head of communications Tom Stainer, for added: “The majority of real cider comes from small-scale producers and has long been part of rural tradition and culture. The proposed action by the European Union is wholly disproportionate, given that a small producer selling 30 pints a day has no capacity to affect EU trade to any meaningful degree.
“If these producers are driven out of business it will dramatically reduce consumer choice and cause irreparable damage to one of the nation’s most historic industries.”
Pictured: Somerton & Frome MP David Warburton and Andrea Briers, chair of CAMRA’s National Cider and Perry Committee, hand in the petition to No 10 Downing Street
