Whisky boss slams UK govt tax hikes, broken promises

Colin Matthews, founder and CEO of the Loch Lomond Group whisky giant and director of the Scotch Whisky Association, has blasted the UK government for its “ill-conceived tax hikes, broken promises of support, and unfair regulations” that he said are “creating major obstacles for distilling in Scotland to remain competitive.”

Matthews’ outrage came as Loch Lomond Group secured planning permission and started construction on a new distillery and visitor centre in Luss with completion anticipated for summer 2025.

The 5,362 sq.m site on the banks of Loch Lomond has been granted permission by Argyll and Bute Council and Luss Estates, to repurpose the old Luss smokehouse and surrounding land on Church Road into a new distillery and visitor centre with access paths to create a mixed-use development.

Matthews said: “This significant multi-million-pound investment in a new distillery and visitor experience marks another major milestone for The Loch Lomond Group.

“The investment comes despite the challenges facing our industry and it reflects our confidence in the local community and the long-term resilience of Scotch whisky and distilling in Scotland.

“However, it comes at a time when the UK government’s ill-conceived tax hikes, broken promises of support, and unfair regulations are creating major obstacles for distilling in Scotland to remain competitive.

“For investments like this to succeed, the (UK) government must change course urgently by taking a common sense approach to support our industry, enabling job creation and economic growth, and ensuring fair competition on a global stage.

“Scotland’s spirits are sold to the world, and that should not be taken for granted by our (UK) government. It’s time for real change and real action, not just empty words and broken promises.

“The successful completion of this new project in Luss will allow us to share the rich heritage and natural beauty of the area which inspires all our spirits, with visitors from around the world.

“The development is a testament to our commitment to innovation, quality, and investing in the spirits industry in Scotland.

“The result will be a truly unique destination that supports the local community, creates new jobs, and showcases the very best of what we have to offer across the Loch Lomond Group.”