The SNP has lodged an amendment to the Westminster Finance Bill aimed at blocking a planned tax rise on Scotch whisky introduced under the Labour Government.
The move is intended to prevent alcohol duty being increased in line with inflation, a decision which the SNP says risks further damage to one of Scotland’s most important industries.
Dave Doogan, the SNP’s economy spokesperson, has challenged Scottish Labour MPs to back the amendment.
The proposal follows the Labour Government’s decision in the recent UK budget not to reverse earlier whisky duty increases.
Industry leaders have warned that continued tax rises risk undermining investment, exports and jobs across whisky producing regions.
The Scotch Whisky Association has previously described the tax approach as a hammer blow to Scotland’s national drink and a breach of Labour’s commitments to the sector.
The decision also comes despite pre election pledges from Keir Starmer to support Scottish whisky producers following a visit to InchDairnie distillery.
The SNP has pointed to analysis from the Scotch Whisky Association showing that after whisky duty was raised in 2023, Treasury revenues fell by nearly £300 million.
Despite that fall in revenue, further tax increases have since been applied to the sector.
The SNP has contrasted the approach at Westminster with efforts by Scotland’s First Minister to defend the industry internationally.
John Swinney has met with the President of the United States, the US Ambassador to the UK, lawmakers from both major US parties, and representatives from the Scotch whisky and Kentucky bourbon industries in an effort to ease tariff pressures.
Commenting, Dave Doogan said:
“Scotland’s world class national drink is facing a crippling tax on Labour’s watch.
“This SNP amendment would put a stop to another damaging Westminster tax hike on one of Scotland’s key industries.
“The challenge to Scottish Labour MPs is clear, they should try standing up for Scotland for a change instead of slavishly standing up for Keir Starmer’s countless broken promises.
“John Swinney has led from the front to protect Scotch Whisky from US tariffs, taking the case to the Oval Office and raising the matter at every opportunity with the US President.
“Now it’s time for the Labour Government to reverse the devastating harm they have inflicted on our world class product.
“The Labour Government has our whisky industry over a barrel with a punitive tax regime that is costing the UK £300m in lost revenues.
“Rachel Reeves is holding back one of Scotland’s key industries and we know it doesn’t work for Treasury coffers either.
“Just like our energy sector, Westminster simply sees our industries as a cash cow to bleed every penny out of.
“We should be backing Scottish businesses to thrive because that’s how to deliver growth and support jobs.
“Our world class product must be given the support it needs and deserves.
“I hope that every single Scottish MP joins with the SNP in supporting this vital industry.”
