Looking Back, Forging Ahead Q&A: Miles Beale, WSTA

By Harpers Editorial

Published: 22 December, 2023

Following another turbulent year for the drinks trade, Miles Beale, CEO of the Wine and Spirit Trade Association (WSTA), reflects on the highs and lows of 2023, plus the hopes and plans for businesses in the year ahead.

How has business been across 2023 when compared with 2022 (and pre-pandemic)?

We have experienced a year that was a little closer to business as usual. We are seeing some topics coming back, for example, legislation consultations, but also more of the same including border issues, labelling changes and some new ones which will come with added costs to the industry, for instance, Extended Producer Responsibility (EPR) and delivering improved environmental outcomes.

What, for you, were the specific highs of 2023?

Our success in forcing the Scottish government to abandon its Deposit Return Scheme. The WSTA has long argued that the way to ensure the best environmental outcome and to boost recycling rates for all glass packaging is to improve kerbside collection and not to include glass within the scope of any DRS. This is not only better for the environment but also better for businesses and consumer choice. Another moment to remember in 2023 was when the treasury listened to reason, and, at the Autumn Statement, announced a freeze to alcohol duty avoiding a second painful duty hike in a year. A collective sigh of relief resonated across the industry.

And the lows?

Although we can celebrate the duty freeze secured in the autumn we cannot forget the brutal new alcohol duty regime which was introduced on 1 August, bringing with it the largest duty rise in almost 50 years and seeing a 20% rise for wine and a 10% hike for spirits.

More specifically, how has the cost-of-living crisis impacted and what have you done to help mitigate the effects for you and your members?

It’s affected demand, which affects all WSTA members’ businesses and their employees. We have attacked any government policy that exacerbates the cost-of-living crisis – and will continue to do so.

How much of a concern are the duty hikes, will members have to alter the way they do business moving forward?

A huge concern – and what we really need is all the answers you hear to the answer to this question from the others you interview! The biggest frustration for us is that the government does not understand the impact of the new duty system or the very high rates it imposes on UK businesses and consumers. The new system has a huge administrative cost in the real world that policymakers don’t, or can’t, see on their spreadsheets. Internationally high rates that are increasing more and faster than elsewhere drive inflation up and consumer demand down.

As a business, what goals have you set for 2024 and how do you expect to achieve them?

‘Influence all UK political parties’ thinking in the run-up to a General Election – by talking to them all.
‘Get the band back together’ – encourage all parts of UK industry to work together again on shared challenges economic growth, delivering improved environmental outcomes, being increasingly responsible.
‘Back to the Future’ – support members to look ahead eg exports, improve import/export experience (Border 2025), innovate (eg low & no).

More generally, in terms of business, how do you predict the drinks landscape will look this time next year?

I expect some consolidation and hope for more unity and joint endeavour.

Quick fire questions:

Go-to Christmas tipple?

Negroni or G&T

And New Year?

Sparkling wine

Fire-side drinks or out on the town?

Both – different nights!

Rioja or Mendoza?

Who’s asking? Probably Rioja

Orange wine – yay or nay?