SPIR7020 - Eligibility for reduced rates

Alcoholic products are eligible for relief if –  

  • they have an alcoholic strength(ABV) of less than 8.5%,  

  • are produced on small production premises, and 

  • are not produced under licence 

SPR is applicable in North Ireland if producers meet both the 4,500 hectolitre threshold for pure alcohol (and all other eligibility criteria), and individual production thresholds for the different product types.  

More information on Northern Ireland eligibility can be found in the ‘check if your products are eligible’ section of the SPR guidance. 

Production premises are small production premises if –  

  • the amount of alcohol in all alcoholic products produced on those premises in the pervious years is 4500 hectolitres or less, 

  • it is estimated that not more than 4500 hectolitres of alcohol in all alcoholic products will produced on those premises in the current year, 

  • less than half of the alcohol produced in the previous year was contained in alcoholic products produced under licence, and  

  • it is estimated that less than half of the alcohol produced in the current year will be contained in alcoholic products produced under licence. 

For group premises it is the aggregate amount of alcohol in alcoholic products produced, or estimated to be produced, for every set of premises in the production group. 

Alcohol contained in alcoholic products not eligible for SPR rates, eg. alcoholic products above 8.5% ABV must be included in the total alcohol production figures. 

Alcohol in alcoholic products spoilt or destroyed before the duty point should not be included in the total alcohol production figures. 

For SPR the production year runs from 1 February up to and including 31 January of the following year.  

In exceptional circumstances, officers may accept certain alcoholic products or quantity of alcoholic products could be disregarded when determining – 

  • the alcohol production amount, or 

  • estimated alcohol production amount, 

in relation to production premises for any production year. 

Exceptional circumstances will be something outside a producers control that results in large scale destruction of product that has been produced and cannot be sold, for example, a global pandemic resulting in a countrywide lockdown or a fire on the production premises, We do not expect this provision will be needed very often. 

Products made under licence are not eligible for SPR. Products made under contract are. 

More information about SPR eligibility including information about products under licence and products under contract can be found in the SPR guidance.