France is planning heavy tax increases on beer, upsetting brewers - even in other countries.

President Francois Hollande is pushing through legislation to increase taxes on beer by 160% to help fund struggling social security programmes as France tries to lower a budget deficit hit hard by the economic crisis. The tax would affect local brews and the 30% of imported beer the French drink.

The Brewers of Europe trade group called the measure a "kick in the teeth" for brewers, who have seen production plummet by 6% and consumption by 8% in the EU since the economic crisis began in 2008.

Belgium and Germany could be the worst affected once the new legislation kicks in.

Sign up to our free newsletters

Get the best updates straight to your inbox:
Please select at least one mailing list.

You can unsubscribe at any time by clicking the link in the footer of our emails. We use Mailchimp as our marketing platform. By subscribing, you acknowledge that your information will be transferred to Mailchimp for processing.