Scotch whisky chiefs warn Labour's 'single malt' definition change threatens £5.36bn industry ahead of Budget

From the Newshound archive · first published 10 October 2026.

The Scotch Whisky Association has formally challenged the UK government's decision to grant English whisky protected geographical indication status, accusing Labour of "watering down the definition of single malt" in a move that industry leaders warn could inflict serious damage on Scotland's most valuable export. SWA chief executive Mark Kent contends that UK spirits duty is already the highest in the G7 and that tax receipts fall every time the government increases it. SNP MPs Laura Mitchell and Graham Leadbitter have written to Chancellor John Healey calling on him to reverse what they call a "sustained attack" on Scotch whisky before the October 28 Budget.

English single malt, unlike Scotch, may be mashed and fermented at a different site, making it considerably cheaper to produce.

Whisky tax has climbed 17% over three years, with spirits revenue running £1.1bn short of Treasury forecasts since 2023.

Starmer once pledged to back Scotch producers 'to the hilt' — Labour has since raised spirits duty twice.