Aug 18, 2025, 12:00 AM
Aug 18, 2025, 12:00 AM

English sparkling wine struggles as taxes rise

Highlights
  • Over 200 vineyards in the U.K. produce more than 12 million bottles of sparkling wine.
  • English sparkling wine faces challenges from rising taxes and the perception of being a luxury product.
  • The future viability of English sparkling wine amidst these challenges remains uncertain.
Story

In recent years, the English sparkling wine industry has faced significant challenges, particularly with the increase in taxes that are now based on alcohol content. This additional financial burdens have created a tough environment for new startups in the sector. While national pride for English varietals exists, it is becoming increasingly evident that the industry is often perceived as a rich person's activity. In the past decade, numerous micro vineyards have emerged in the southern English countryside, sometimes appearing more as a showcase for wealth rather than a serious endeavor. Currently, there are over 200 vineyards in the U.K. producing more than 12 million bottles, yet the average vineyard size is just 1.6 hectares, which contrasts sharply with the extensive Champagne region, renowned for its staggering production of over 300 million bottles each year. Major Champagne houses, like LVMH's Moet & Chandon, sell a substantial number of bottles annually, emphasizing the stark difference in scale between the two wine-producing regions. The real question for the future is whether English sparkling wine can carve out a sustainable market amid these increasing challenges, or if it will remain a niche product catering only to affluent consumers. This tension showcases the delicate balance between aspiration and practicality facing this budding industry.

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