Club Soda urges VAT cut and descriptor rule change in manifesto to Gov

Laura Willoughby (right) with the Club Soda team and the manifesto (inset)
Manifesto launched: Laura Willoughby (right) with the Club Soda team and the manifesto (inset) (Jonathan Taylor Aniseed Photo / Kristin Lamb)

Club Soda has called on the Government with a package of ideas to help put low & no drinks at the heart of British drinking culture.

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Its plans include removing VAT from alcohol-free drinks, redefining ‘alcohol-free’ as up to 0.5% ABV and to launch a package of measures to promote the sector more strongly.

The call on the UK Government has been led by the mindful drinking movement and community group founded by Laura Willoughby MBE, who launched the manifesto at the recent Club Soda No, Low and Mid-Strength Summit at Coin Street Neighbourhood Centre, Southwark, London, earlier this month (October).

There are five main aims in the Shaking Up Westminster manifesto, leading with changing the definition of ‘alcohol-free’ so the terms can be used on drinks up to 0.5% ABV, which would bring UK regulation into line with European rules. It also wants ‘0.0%’ and ‘0%’ to be reserved for drinks up to 0.05% ABV and a single Government-wide definition of what constitutes an alcohol-free adult drink.

Willoughby said: “We want the Government to lead a nationwide messaging on alcohol-free being a positive substitution. So, if you’re driving, have an alcohol-free beer – don’t just talk about drinking water or not going out at all.”

She also asked for this to be embedded in health-led communications meaning the fact that substitution is a good way to reduce drinking alcohol.

Removal or reduction in VAT

Its second want is the removal or reduction of VAT on alcohol-free drinks sold in pubs, bars, restaurants and shops – and for the Government to use tax policy to incentivise moderation as it cited alcohol-free options are often almost as expensive as alcoholic drinks despite containing no alcohol duty.

Willoughby said: “It’s really important that we protect alcohol-free, in particular, from legislation that may affect alcohol, which may then, unintentionally, affect alcohol-free.”

Thirdly, Club Soda wants the low & no sector to be seen as an industrial growth opportunity and not as a public health issue.

With the notion of turning the UK into the global leader of alcohol-free drinks production and exports, Club Soda wants leaders to formally recognise the category as a high-growth drinks sector, include it in industrial strategy and food strategy plans, increase access to Innovate UK and UKRI funding, improve R&D tax relief support and launch an export accelerator programme for low & no and mid-strength alcohol drinks.

Willoughby explained: “Alcohol-free isn’t in the industrial strategy, and so what we wanted to do is to make sure the Government sees this as a category worth investing in.”

Promote alc-free drinks

The fourth strategic point made by Club Soda to the Government concerns regulations designed around alcoholic drinks don’t always work for alcohol-free products.

Club Soda wants a modern solution in food regulations, such as faster approval of ingredients and technologies used in alcohol-free drinks and alignment with international markets. It also cited changes to packaging regulations that include a review of Extended Producer Responsibility (EPR) charges, Deposit Return Scheme (DRS) implementation and a reduction in what it sees as excessive administrative costs on drinks producers.

Finally, Club Soda is bidding for the Government to actively promote alcohol-free drinks so this means to fund promotional campaigns, include such products in its health campaigns and anti-drive-driving rhetoric and to lead by example by increasing its own alcohol-free options in Government venues and in parliamentary bars.

There was also a uniting call for those involved in the low & no sector to lobby the Government too.

Willoughby concluded: “What you need to show them is that you’re all out there making great drinks and you were the first movers before some of those big brands. You’re creating local jobs and you’re doing something amazing, innovative and something that’s different.”