The Chancellor is on course to increase the levy by around 4.6 percent in line with inflation in next week’s Budget.

       Spirit distillers claim increasing duty will curb investment, including action to reduce carbon emissions. They say it could generate less revenue for the Treasury than if the businesses are allowed to grow.

       Graeme Littlejohn, of the Scotch Whisky Association, said: “Rather than increasing the level of tax even further, we’re asking the Chancellor to back us as he has in the past, and to let us do our bit to support the economic recovery.”

       Producers are also concerned that Mr Sunak could cut duty on sparkling wine and keg beer while raising it on spirits.