Britain’s heatwave has driven a sharp rise in alcohol-free beer purchases, with one brand enjoying record sales for the last five days.

As temperatures climbed to the mid-thirties across large parts of the country, Lucky Saint, the non-alcoholic beer brand, saw retail sales up by 56 per cent on last week.

Compared to last year, the alcohol-free beer brand’s retail sales increased by 73 per cent.

A spokesperson for Lucky Saint said: “Across supermarkets, we’ve seen strong trading across the heatwave. We have had record sales, with each day so far this week our biggest ever day.”

Wine Bartender, a non-alcoholic drinks store, said it noticed a “clear heatwave correlation”, with beer sales rising by 33 per cent over the past two weeks.

The spike in sales comes as the UK recorded its hottest June day record for a third consecutive day. Temperatures of 36.9C were recorded in Wattisham, Suffolk on Friday.

A rare red warning for extreme heat is in place until 9pm for London & South East England and the East of England.

Wine Bartender said this week’s sales were already tracking higher than last week, and beverages like non-alcoholic lager and hazy pale were leading the charge.

The Alcohol Free Co. saw beer sales increase by just over 20 per cent in June, with customers opting for alcohol-free lagers, pale ales, ciders and lighter beers.

A spokesperson said: “We always notice an uplift in alcohol-free beer sales when the weather gets warmer. During a heatwave, customers are looking for something cold, refreshing and easy to drink, but without the alcohol.

“We also tend to see people ordering earlier in the day, which suggests they’re planning ahead for BBQs, garden drinks and warm evenings. Alcohol-free beer is no longer just a Dry January product, it has become part of everyday drinking, especially in summer.”

A report from charity Drinkaware last year revealed that 31 per cent of UK drinkers were opting for alcohol-free options to moderate their drinking, up from 18 per cent in 2018.

Among Gen Z adults, who are often labelled the “sober curious” generation, this figure rose to 49 per cent, up from 28 per cent in 2018.

Health chiefs have cautioned England fans ahead of the World Cup game on Saturday, warning them of the dangers of drinking alcohol all day in the extreme heat.

Private GP and medical director for Prestige Private Health Dr Wesley Tensel said drinking alcohol in the hot weather can “catch people out” and cause dizziness, dehydration, and heat exhaustion.

“That combination together can be a double whammy,” he added.

Over the weekend, the French government announced a ban on public alcohol consumption in regions under its highest red heatwave alert.

It came during the annual music celeberation Fête de la Musique festival, which turns entire towns and cities into open-air concert venues.

Music day event organisers were ordered to limit alcohol use to “preserve emergency services and allow medics to concentrate on taking care of the most vulnerable.”

Government plans to impose a 22 per cent tax charge on cash interest held within stocks and shares ISAs have been criticised by wealth managers, banks and consumer groups.

Ministers argue the changes are intended to encourage more people to move money out of cash and into productive investments, supporting economic growth and boosting long-term returns.

But critics say the proposals risk undermining one of the key attractions of the ISA system which is simplicity, and could deter cautious savers from entering the market.

The Treasury says the new tax levee is to avoid people circumnavigating rules by putting a full £20,000 into their ISA, keeping it as cash and earning interest – despite some industry experts suggesting there’s little evidence this is how people behave.

Several industry figures warned that the reforms could amount to a stealth tax on savers who use cash holdings as part of a sensible investment strategy.

Yael Ossowski, deputy director of the Consumer Choice Centre, argued that the move fundamentally changes the purpose of ISAs as a tax-free savings vehicle.

He said ministers were effectively asking savers to pay tax on the safest assets held within an account specifically designed to shelter savings from the taxman, describing the measure as a “stealth tax on cautious savers” that could push risk-averse households into investments they may not otherwise choose.

The criticism was echoed by Ian Rand, chief executive of Monument Bank, who argued that policymakers misunderstand how many people invest.

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Rather than moving directly from cash into shares, investors often hold cash temporarily while deciding where to allocate money, gradually building positions over time. Penalising cash holdings during that process risks discouraging responsible investing rather than encouraging it, he suggested.

“The government says it wants to push people into investing, but this charge misreads how responsible investing works,” Mr Rand said, adding that cash accounts form an essential part of the investment journey for both experienced and novice investors.

Concerns about complexity emerged as a common theme among advisers and investment firms.

Rachael Griffin, tax and financial planning expert at Quilter, warned that taxing cash interest within Stocks and Shares ISAs, alongside new rules governing money market funds and restrictions on transfers, “risks making the product feel more complicated at precisely the point policymakers want cautious savers to take their first steps into investing.”

That view was shared by Claire Trott, head of advice at St James’s Place. “Holding cash is often a normal part of the investment journey,” she said. “Investors may temporarily hold cash while deciding where to invest, when switching investments, or while waiting for money to be reinvested.”

Introducing additional tax considerations risks adding another layer of complexity to a product that has historically been valued for its simplicity.

Industry figures also questioned whether the reforms are targeting a problem that actually exists.

Andrew Prosser, head of investments at InvestEngine, said cash balances, money market funds and overnight-rate exchange traded funds are widely used by ordinary investors to manage risk or hold money between investment decisions rather than to circumvent ISA rules.

“The issue is that these rules seem to assume investors will actively try to get around the cash ISA limits,” he said, arguing there is little evidence that most savers behave in that way.

Operational concerns are also beginning to emerge.

“Not only is this new tax a burden for investors, it’s a complete headache for platforms too,” pointed out George Sweeney, investing expert at comparison site Finder. “It’s unclear exactly yet how the tax will be taken, whether ISA holders are going to have to start filing self-assessment tax returns going forward or if platforms will attempt to build some sort of withholding system. A big selling point of ISAs was supposed to be the simplicity and lack of paperwork.

“And the irony is, all this is happening under measures the government has comically named ‘Simplifying and modernising the tax system’,” he added.

Other advisers pointed to the potential consequences for people saving towards specific financial goals.

“The proposals also fail to recognise that holding cash temporarily can be a sensible part of financial planning, particularly when investors are approaching major life events, such as a new property purchase, and are looking to reduce risk,” said Jennifer Crichton, senior wealth planner at Killik & Co.

Nouran Moustafa, an independent financial adviser at Roxton Wealth, added that another big concern was “the proposed ban on moving money from a stocks-and-shares First Time Buyer ISA into cash close to purchase.

“Buyers need to de-risk when exchange is approaching, not gamble with their deposit. Simpler is good. Simpler but rigid is not,” she said.

Michelle Holgate, director and wealth manager at RBC Brewin Dolphin, similarly warned that restrictions on transferring funds from Stocks and Shares ISAs into cash could limit flexibility for savers whose circumstances change.

Taken together, the reaction from across the industry suggests broad support for the government’s ambition to encourage greater participation in investing, but deep scepticism about whether taxing cash held within ISAs is the right way to achieve it.

For critics, the risk is that a policy designed to modernise the ISA system ends up making it more complicated, less flexible and ultimately less attractive to the very savers ministers are hoping to persuade.

As HMT spokesperson said: “Parking cash long term in a non-cash ISA to earn tax-free interest isn’t investing. These changes will push more people towards investments that actually grow their money, and industry leaders including Nationwide and the Building Societies Association back us on this.

“Savers can still hold up to £12,000 in a Cash ISA, and those 65 and over keep the full £20,000 allowance.”

When investing, your capital is at risk and you may get back less than invested. Past performance doesn’t guarantee future results.