Ireland Has Second-Highest Alcohol Excise Duty in Europe
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Consumers in Ireland pay the second-highest excise duty on alcohol in Europe, trailing only Finland, according to a research study published on August 21, 2026.
Tax Breakdowns Across Categories
The research details significant disparities between Irish alcohol levies and those of continental European jurisdictions. According to the study, excise on wine in Ireland ranks as the second highest across the European Union and the United Kingdom. Meanwhile, excise duties on beer and spirits secure the third-highest position, sitting behind Finland and Sweden respectively.
Specific product comparisons illustrate the scale of the tax wedge. A pint of beer purchased in a pub attracts an excise duty of €0.55 in Ireland. In contrast, the same measure incurs just €0.05 in Spain and Germany. For spirits, a 70-centilitre bottle of whiskey carries an excise levy of €11.92 domestically, compared to €2.69 in Spain and €3.65 in Germany.
Wine taxation follows a similarly steep trajectory. Excise duties make up €3.19 of the €11 cost for a standard bottle of wine bought from an off-licence, according to findings cited by the Irish Independent. By comparison, 14 European countries—including Spain, Portugal, Italy, Germany, and Greece—impose zero excise on wine, while France levies just €0.01 on a standard glass.
Industry Response and Budget Pressures
With the national budget on the horizon, industry representatives are warning of severe operational viability risks for rural and urban operators alike. “The main aim of this report is to objectively assess what the rate of excise in Ireland is compared to other countries across Europe. The results show without doubt that Ireland has a very high level of alcohol excise tax in 2026 when compared with the large majority of other countries,” Professor Foley stated.
The Drinks Industry Group of Ireland is actively calling for a 10% reduction in excise duties in the upcoming Budget to protect vulnerable operators. Donall O’Keeffe, secretary of DIGI, emphasized the social and economic footprint of these businesses. “Irish pubs are celebrated around the world and are often the only community hub in isolated communities, yet the Government seems to be content to tax them out of existence,” O’Keeffe noted.
Diverging Policy Demands
The debate over alcohol taxation highlights a deep division in economic policy priorities for the state. Last year’s budget left excise duties unchanged despite identical appeals for a 10% reduction from industry stakeholders. Conversely, public health advocates continue to push in the opposite direction. Alcohol Action Ireland previously petitioned the government for a 15% increase in excise levies to curb consumption and reduce public health costs.
