Discerning drinker: budget blues

Before the Chancellor stood up to deliver his Budget yesterday, British drinkers already paid the highest alcohol tax anywhere in the EU — £1.82 on a bottle of still wine — with VAT, more than half the shelf price of a £5 bottle. Critics pointed out that these taxes did not appear to be stopping binge drinking — while countries with no duty at all on alcohol (eg Germany, Spain, Italy) don’t suffer our problems.

Did George Osborne listen? Don’t be silly: he stuck us for a five per cent increase in excise duty, from Monday. That’s 11p on a bottle of wine, if you include the VAT on the extra duty.

Of that £5 bottle, the taxman will now take 55 per cent. Or, after tax, there will be just £2.24 to cover the store’s mark-up, the shipping, packaging, production costs — oh, and the grapes.

So in austerity mood, here are a few of the dwindling number of decent sub-£7 wines. Some retailers tell me they will try to hold some prices — but to be sure, better get there before Monday.

Falanghina Beneventano 2011, IGT Campania (M&S, £5.99). Falanghina is the most distinctive white of Campania, the Italian region of which Naples is capital. Light, crisp and fresh, with the grape’s distinctive tangerine notes.

Viñalba Malbec-Syrah 2009, Patagonia (Asda, £8.48 reduced to £4.98 until the middle of next week).Transplanted Bordelais Hervé Fabre makes big Argentine wines with freshness and balance. This is rich, full of dark fruit and chocolate notes, with smooth tannins. Great value on offer.

Marqués de Montino Joven 2009, Rioja (Sainsbury’s, £6.99; from March 28 to April 17, three bottles for £13). Multi-bottle supermarket deals are usually rubbish, offered on wine that shouldn’t have been priced higher to start. Here’s an exception, a fresh, fruity, well-made Rioja: fair at full price, a steal on offer from next week.

M&S Manzanilla (£6.99). It’s astonishing that producer Williams and Humbert can still make decent sherry at this price, given that the Chancellor takes more than half of it (fortified wines attract £2.54 duty). Classic manzanilla: fresh, bone dry and a salty tang.

Twitter @hernehillandy