Ministers accused of double standards over drink

SNP ministers have been accused of hypocrisy after it emerged they are seeking an economy-boosting tax cut on whisky while planning a crackdown on cheap alcohol to improve Scotland's health.

Finance Secretary John Swinney wrote to Alistair Darling last week urging the Chancellor to reduce excise duty on whisky in the UK. Tax on Scotland's national drink is far higher than other alcoholic drinks.

But his call comes amid a campaign by Justice Secretary Kenny MacAskill to end the era of cheap drink. MacAskill is considering moves to stop retailers' special offers and a new levy on off licences and bars.

The row comes amid speculation that Darling is set to increase alcohol levies in the Budget, to plug a hole in the Government's finances. The levy on whisky has not been increased for 10 years.

The biggest increases, however, could be on wine, possibly by as much as £1 a bottle.

Swinney said: "In real terms, whisky and other spirits produced in Scotland continue to be taxed more heavily than any other alcoholic drink. A cut in the excise duty would reduce the domestic tax discrimination against this vital sector of the Scottish economy."

Currently, a pub measure of whisky pays 27p duty, compared to 19p for beer and 21p for wine.

A Scotland Office source said last night: "While the UK Government is passing a Scotch Whisky Act to protect the integrity of one of our most important exports, the minority SNP administration are at sixes and sevens with the Finance Secretary undermining the Justice Secretary.

"While Kenny MacAskill is trying to raise the cost of alcohol, John Swinney wants to cut it."

A Scottish Government spokesman said: "There is a world of difference between seeking fair tax treatment for Scotch whisky and dealing with a situation where deep discounting of other forms of alcohol can make it cheaper than water, contributing to Scotland's binge-drinking culture."