This is one hell of a statistic:
That's from a new book by James Simpson Creating Wine, the Emergence of a World Industry 1840-1914. This seems hard to believe until one recalls how little governments spent on anything back in the late-Victorian era. Nevertheless, there you have it: boozers kept Britain afloat then just as drinkers and smokers do more than their bit to fund the government these days. Even so: 36%! There's something almost heroic about that.In Britain, taxes on all types of alcohol contributed 36 percent of national revenue in 1898-99, but they were also 19 percent in France (1898), 18 percent in Germany (1897-98), and 28 percent in the United States (1897-98).
These days, alcohol taxes raise something like £9bn a year so limiting government spending to three times the money raised by booze would, roughly speaking, like taking the Scottish block grant and using that money to fund the whole of the British government. The times, they have changed and all that and so have our expectations of government. There are precious few people who even really hanker after 19th century levels of spending. Nineteenth century morality, of course, is a different matter.
[Hat-tip: Marginal Revolution]
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Dave B
October 25th, 2011 1:58pm Report this comment"There are precious few people who even really hanker after 19th century levels of spending."
I'm one.
normanc
October 25th, 2011 2:13pm Report this comment'There are precious few people who even really hanker after 19th century levels of spending'
Oh, I don't know, if I was spending enough on alcohol so that the duty covered 36% of the total taxes I pay I'd be pretty happy, albeit even less coherent.
The back of my (heavily taxed, natch) fag packet makes that out to be ~2,500 bottles of plonk a month.
Who doesn't hanker after that levels of spending / drinking?
Erica Blair
October 25th, 2011 3:14pm Report this commentMassie overlooks the fact that in 1899 Britain had a little thing called the Empire. Why raise taxes when you can steal?
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