Wine volumes in the year to February were down 2% with spirits falling by 1%.
Champagne sales fell by 6% with consumers switching into other sparkling wines, which saw a 7% upturn.
The increasing popularity of British wine and cider has chipped away at wine at lower price points, but sales of bottles at £5 or more have grown “significantly” said the WSTA.
Gin and vodka performed best in spirits in take-home, with volumes up by 2% and 3% respectively.
WSTA interim chief executive Gavin Partington said: “It’s clear that many consumers continue to feel the pinch yet the duty escalator on alcohol continues to push prices up, and sadly the Budget later this month threatens more of the same.”
The WSTA Market Report is based on data and analysis from Nielsen, CGA Strategy and the Wilson Drinks Report.