Aussie beer lovers and hospitality businesses have scored a win, with the Albanese Government announcing a two-year freeze on the indexation of draught beer excise.
The move, set to take effect from August 2025, aims to ease financial pressure on pubs, clubs, and their patrons.
Prime Minister Anthony Albanese framed the decision as a boost for small and medium businesses.
“Freezing the excise on draught beer is a common-sense measure that is good for beer drinkers, good for brewers, and good for pubs.”.
For decades, the excise on draught beer has been indexed twice a year, contributing to rising costs for venues and customers alike.
Treasurer Jim Chalmers acknowledged the change as a small but meaningful step.
“This is a modest change but will help take a little bit of the pressure off beer drinkers, brewers, and bars.”
The Government will consult with the industry on the implementation of the measure, which comes alongside broader tax relief for Australia’s alcohol producers.
Last week, it announced an increase in the excise remission cap for brewers and distillers from $350,000 to $400,000 annually. The Wine Equalisation Tax producer rebate cap will also rise to $400,000 from July 1, 2026.
With beer at the heart of Australia’s pub culture, the decision has been welcomed by industry leaders as a step towards keeping costs down and supporting regional tourism.
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