AS some Brits begin to give up alcohol for Dry January, the TaxPayers’ Alliance (TPA) has revealed the burden of alcohol taxes on households facing a cost of living crisis.

The TPA says analysis shows that simply giving up alcohol for one month would save drinkers over £1 billion in duties.

It says the hospitality industry is in dire straits after almost two years of restrictions, so while people are conscious of their health as they start the new year it’s vital that pubs, clubs and restaurants get the support they deserve.

But the TPA says the tax burden on businesses and consumers is significant. Its figures reveal that the average household spends more than £460 in alcohol duties alone each year. The campaign group previously found that almost one third of the price of a pint is tax.

Analysis of Office for National Statistics (ONS) data shows that before the pandemic, the average household spent over £480 on alcohol for consumption at home, and over £430 on alcohol in hospitality venues.

The TPA says poorest households pay almost 57 per cent of their income in tax, the highest proportion of any group. With supply chain issues causing supermarket bills to rise and a looming cost of living crisis, the TPA is calling on the Government to cut taxes to ease the burden on hardworking Brits.

Key findings of the TPA analysis are:

• For 2021-22, the annual total cost of alcohol duties forecast is £12.819 billion.

• The forecast cost of alcohol duties for each month of 2021-22 is £1.068 billion.

• The average cost of alcohol duties for each household is £461.25 in 2021-22.

• The average household spent £483.60 on alcohol (brought home), and £431.60 on alcohol (away from home) in 2019-20.

John O’Connell, chief executive of the TPA, said: “These figures show how ludicrously high alcohol taxes have left Brits shortchanged. Taxpayers and the hospitality industry are crying out for politicians to ease the squeeze on their wallets this year.

“Ministers must sober up to the cost of living crisis and cut taxes for hard-hit households and businesses.”