The Labour Party Annual Conference 2025

SME4Labour fringe: BEYOND REVENUE: CAN LABOUR MAKE SIN TAXES FAIRER FOR CONSUMERS AND SMES?

Speakers:

• Alex Ballinger MP, MP for Halesowen
• Lord Maurice Glasman 
• Ryan Wain, Executive Director, Politics at TBI
• David Burton-Sampson MP, MP for Southend West and Leigh

Chair: Noa Hoffman, The Sun

Labour’s approach to “sin taxes” – levies on alcohol, tobacco, gambling, and unhealthy foods – was explored at this engaging fringe event, which considered how these policies can balance public health goals with fairness for consumers and small businesses.

The discussion opened by examining the regressive nature of sin taxes, highlighting their disproportionate impact on lower-income households and the economic pressures they place on SMEs in hospitality and retail. Speakers stressed that while these taxes aim to fund public services and reduce harmful behaviours, their implementation often creates unintended social and economic consequences.

Panelists proposed rethinking the structure of sin taxes. Ideas included tiered rates for alcohol duty, exemptions or relief for smaller producers, and targeted taxes on the most harmful gambling or high-sugar products. Beyond fiscal measures, the conversation emphasised the importance of preventative public health initiatives, education campaigns, and technological tools to support healthier lifestyle choices.

A recurring theme was the balance between individual freedom and social responsibility. Lord Glasman and other panellists highlighted the cultural and community roles of pubs and local businesses, cautioning against overly punitive approaches. Meanwhile, MPs Alex Ballinger and David Burton-Sampson discussed the potential to redirect revenue to preventative health measures, creating a system that is both socially just and economically sustainable.

The session concluded with a call for a Labour government to develop a nuanced approach: one that preserves choice, supports small businesses, incentivises healthier behaviour, and ensures public health policies reflect fairness and social justice.

Bios

Alex Ballinger is the Labour Member of Parliament for Halesowen, elected in the 2024 general election. A former Royal Marines officer, he also worked as a diplomat and humanitarian aid worker with the Department for International Development and the Foreign Office before entering Parliament.

Relevant to this discussion, Mr. Ballinger's voting record shows a consistent alignment with Labour Party policy on fiscal measures. He has voted for higher taxes on alcoholic drinks and in favour of smoking bans, indicating a legislative interest in using fiscal and regulatory tools to achieve public health outcomes. He has also taken a keen interest in gambling legislation reform, another area where excise duties and regulation intersect with public wellbeing. This record provides a practical foundation for discussing the complexities of aligning taxation with public health objectives.