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Finance Bill

I declare an interest as chairman of the all-party wine group. Our group carried out a study of the effect of the Government's proposed duty increases and the escalator. Our conclusion was that jobs and investment would be lost and that revenues would reduce over time, not meet the Government's revenue targets. Whether we are talking about the increase in duty on wine, whisky or beer, we have to recognise that we live in an increasingly international world. Hong Kong, by reducing its duty to zero, is taking from London the market in wine—selling and cellaring—that has been here for centuries. The Government are doing themselves huge damage with the duty increases. They are reducing investment in the industries affected, reducing the number of jobs and reducing the tax take they receive because they are reducing consumption of wine and whisky. On every count, the measures are counter-productive.