The Ec Picking Another Fight

The European Commission has threatened legal action against the UK government, demanding that it scraps rules exempting from excise duty the sale of cider and perry made by small producers. The Commission claims the exemption breaks EU excise duty legislation and has given the UK two months to respond, or potentially launch a case at the European Court of Justice. The excise duty exemption covers manufacturers producing 70 hectolitres or less over 12 consecutive months. A Commission note said: "EU excise duty rules oblige member states to levy an excise duty on alcohol and alcoholic beverages. There are no provisions for an exception in respect of cider and perry made for sale by small domestic producers."