AN award-winning Scottish distillery has announced job cuts in a bid to safeguard its future against "challenging headwinds".
The maker of Isle of Harris Gin, and also the first single malt whiskies in Harris in almost 200 years, employs 50 people.
The distillery, which has won multiple awards for its single malt The Hearach, opened in 2015 with just 10 employees.
Last year, Isle of Harris won Scottish Distillery of the Year as well as Product Launch of the Year and Newcomer of the Year at the Scottish Whisky Awards.
Managing director Simon Erlanger said the spirits industry was facing "challenging headwinds" and having to make difficult decisions.
He said restructuring was needed to safeguard the future of the business.
Staff are being offered voluntary redundancy but compulsory will follow if cost-cutting targets are not met.
Erlanger said: "Following a number of cost-cutting measures, voluntary redundancy is being offered to staff in the first instance, with compulsory to follow thereafter if we do not fulfil our cost reduction target."
The Scotch Whisky Association said earlier this month it was "disappointed" Scotch whisky could be impacted by 10% tariffs introduced by US president Donald Trump.
The SNP said the White House’s levies are set to “hammer” the Scotch whisky industry, adding that it lost more than £600m the last time tariffs were applied in 2019 at 25%.
In 2022, the Isle of Harris distillery secured £10m in funding from HSBC to pay for a new export drive to distribute its gin to more than 20 markets around the world including the US, Canada and Germany.
Erlanger said the distillery represented more than £20m investment in the island's economy.
He added: "We remain true to our founding purpose as a sustainable, multi-generational firm built to support the community for many years to come.
"The regrettable measures now being taken are necessary to help fulfil that long-term vision."
