Bestway has warned retailers they face losing their alcohol licence if they buy booze from ‘white van men’ ahead of the launch of a government scheme to tackle alcohol fraud.
The Alcohol Wholesale Registration Scheme (AWRS) was announced in 2013’s autumn statement by then chancellor George Osborne to tackle alcohol fraud, which is estimated to cost UK taxpayers £1.2bn a year.
The scheme will come into force on 1 April and aims to stop the illicit trade of alcohol, where duty is unpaid, entering the supply chain.
The “fraudulent trade in alcohol has been a major problem for many years,” according to Bestway managing director Martin Race.
“Retailers now have no excuses,” he said.
“They either buy from a registered wholesaler or potentially say bye-bye to their alcohol licence. Other penalties include seizure of stock and massive fines and it’s a statement of how far the problem has escalated over the past few years that these severe measures have been introduced.”
In March 2016, the HMRC said only 2,100 of around 20,000 businesses had registered to sign up to the scheme.
Wholesalers who have not signed up by 1 April could face a £10,000 fine or up to seven years in prison.
“The wholesaler sector and our customers have suffered as white van man and other less scrupulous ‘wholesalers’ have flooded the market with bootleg booze,” added Race.
“The AWRS will clamp down on this supply and also provide customers with the confidence that they are operating within the legal framework.”
He added: “We welcome the new scheme, are grateful for the work of the Federation of Wholesale Distributors in lobbying for the legislation, and are proud to be among the first to register.”
The group said all of its 63 Bestway and Batleys depots in the UK were now included in the AWRS.
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