Customs Tariff Amendment (Draught Beer) Bill 2025; Consideration in Detail

Opened the debate

Conaghan moved an amendment to freeze indexation for tap spirits for two years and require a Treasury review of the alcohol tax system by November 2026. Conaghan argued that automatic tax increases exacerbated cost-of-living pressures and that the current system was irrational and outdated. Conaghan compared the situation to tobacco tax failures, warning of potential illicit trade growth. Conaghan stated that while the government had paused draught beer indexation, this measure was insufficient without a broader review.

Government response

Mulino stated that the government would not support the amendment. Mulino argued that the bill struck the appropriate balance between supporting pubs and clubs and maintaining budget sustainability. Mulino referred to previous arguments regarding the Excise Tariff Amendment (Draught Beer) Bill 2025.