The Australian Tax Office has raised the excise duty on spirits today, up from $105.98 per litre to $107.99 per litre.

While the Australian Government announced a two-year freeze on the draught beer excise last year, the spirits industry remains locked into twice-yearly excise rises in line with inflation. The decision has been criticised by both distillers and the hospitality industry.

Spirits & Cocktails Australia executive director Steven Fanner, said: “Spirits are taxed more than beer or wine, and the tax increases every six months. This latest rise will mean around $32 of the price of a standard 700mL bottle of gin or whisky is tax going straight to the Government.”

Parliament is expected to debate the government’s draught beer freeze this week, with Fanner urging an extension on the freeze to include tap spirits-based beverages served over the bar in pubs and clubs.

“Applying the freeze to tap spirits as well as tap beer would ensure many more people having a drink with friends on a Friday night benefit from this sensible cost-of-living measure,” Fanner said.

Night Time Industries Association chief executive Mick Gibb said: “We’ve seen some real progress in recent months to foster vibrant 24-hour cities, but for many consumers the rising price of a mixed-drink or a cocktail makes going out a luxury,” he said.

“For venue owners, particularly those with small bars, these twice-yearly tax hikes become very difficult to wear and even harder to budget for.”