Share prices in British pubs spiked as chancellor George Osborne announced duty cuts on beer, cider and spirits in his last budget before May’s General Election.

Providing a boost to pubs and producers, beer duty was cut by 1p a pint and cider by 2p. This is the third time in a row that duty on beer has been cut.

There was a 2% cut in excise duty on Scotch whisky and other spirits, while wine duty was frozen.

As reported in Reuters, industry association Campaign For Real Ale (CAMRA) hailed the move, saying the last two beer cuts had saved over 1,000 pubs from closure.

CAMRA chief executive Tim Page said: "It will help ensure the sector returns to long-term growth after many years of pub closures and falling beer sales, caused in part by a 42 percent beer tax increase between 2008 and 2012."

Although freeze on wine duty has disappointed many, the industry in general, welcomed the new budget.

WSTA chief executive Miles Beale said: "We are delighted the government has listened to consumers and taken action to address the UK’s excessive spirits duty rates."

He added: "We campaigned for a cut in duty across all products are disappointed that the UK’s 30m wine consumers did not receive a duty cut too. But freezing wine duty is an improvement and a first step towards supporting wine businesses that are looking to invest in the UK, create jobs and back British pubs."

In 2014, too, Osborne slashed duty for all alcohol.