Drinkers toast Dubai's 30% tax cut on alcohol

STORY: For drinkers and bar owners in Dubai a new rule should be something to celebrate.

The government announced a 30% tax break on alcohol sales last week - making it cheaper to buy booze.

The impact of the cuts will take time to be felt as current stocks were bought before the end of last year.

But the mood at bars in the city's Madinat Jumeirah complex is already changing.

"I think it is a great news, it will allow us to celebrate more and better with all our friends, it is a great news, for when buying alcohol to have a home celebration, as well as when enjoying a drink outside, I am looking forward to see the price drop also in stores as well as restaurants."

Dubai has also dropped a license that individuals needed to buy alcohol.

The moves are expected to boost the appeal of Dubai for tourists and expat workers.

Richard Cowling is a Director at Operations Gate Hospitality.

"Fantastic news for us, especially going into the new year within the hospitality industry, we have seen massive increases in the cost of produce, cost of food ingredients, cost of cooking oils, energy costs over the last twelve months."

Dubai welcomed just over 7 million visitors in the first half of 2022.

It wants 25 million tourists a year by 2025.