Nisa has pledged to absorb additional costs for its retailers on more than 800 alcohol products affected by duty increases in the spring Budget.

Chancellor George Osborne revealed last month that duty on products including wine and high strength sparkling cider will rise at the same rate of inflation. He added that duty on beer, whisky and other ciders would be frozen.

Nisa said it will not increase base prices on alcohol lines hit by the latest tax increases, which it claimed would protect its members’ profit margins on these goods.

Harj Dhasee, owner of Nisa Mickleton Village Stores in Gloucestershire, welcomed the news. He said: “Following the price realignment strategy and some of the rises Nisa has introduced this year, this is a good move.

“The market is getting more competitive so for them to hold prices on wine should give us an advantage.”

However, Luton Nisa retailer Peter Mann said: “It is a good move, but it would have only been a small increase in cost price and we’re not sure how long Nisa will be able to maintain these for.”

Stewart Smith, Nisa trading director, said: “If we had decided to pass on the duty increases there would have been an extraordinary burden placed on our members.

“Nisa is committed to delivering benefits to its members and we felt that this decision helps protect retailers while also giving them a strong commercial advantage in a very competitive market place.”

Other wholesalers including Booker and Landmark said pricing on their alcohol products had been affected by the latest Budget.

A Booker spokesman said: “Some of our alcohol prices changed as a result of the new duty rates.  However, the market beating growth at Booker shows how our retailers are getting a better deal than elsewhere.”