According to the Journal of Wine Economics, with the UK’s intended departure from the EU, the price that British consumers must pay for a bottle of wine could rise by as much 25 per cent by 2025.
The increase in wine prices will consequently have an effect on consumption, said the study.
“The volume of UK wine consumption is 28 per cent lower: 16 per cent because of slower UK economic growth, seven per cent because of real depreciation of the British pound, and five per cent because of new tariffs”, the article said.
“Superpremium wine sales are the most affected, dropping by two-fifths, while sparkling and commercial-premium wines drop a bit less than one-quarter.”
The consumption of domestic British wine is also set to depreciate due to Brexit.
Data provided by the Wine and Spirits Trade Association in its report for the second quarter of 2017 show that the price of wine increased by three per cent in the 12 weeks leading up to the start of 2018.