Taxes on draught beer, cider and sparkling wine are being cut as part of a huge overhaul of the UK's alcohol duty system, the Chancellor has announced.
Rishi Sunak told MPs in his Budget speech that the planned increase in duty on spirits such as Scotch whisky, wine, cider and beer will be cancelled from midnight.
He said this alone will represent a tax cut worth £3 billion.
Sunak criticised the current system of alcohol taxes as outdated and too complicated, as he revealed a raft of changes.
"We are taking advantage of leaving the EU to announce the most radical simplification of alcohol duties for over 140 years," he said.
"We're taking five steps today to create a system that is simpler, fairer, and healthier."
The Treasury said it will slash the number of main duty rates from 15 to six as part of the sweeping changes.
The Chancellor said changes to duties will see taxes increase on some higher strength drinks, such as some red wine and "white ciders".
However, consumers of some lower strength products, such as rose, fruit ciders, liqueurs, and lower strength beers and wines, "will pay less", he said.
The Chancellor told MPs: "It will apply to drinks served from draught containers over 40 litres. It will particularly benefit community pubs who do 75% of their trade on draught.
"Let me tell the House the new rate: draught relief will cut duty by 5%.
"That's the biggest cut to cider duty since 1923.
"The biggest cut to fruit ciders in a generation. The biggest cut to beer duty for 50 years.
"This is not temporary, it's a long-term investment in British pubs of £100 million a year. And a permanent cut in the cost of a pint by 3p."
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