UK Beer Industry in Decline
· news
The Beer Boom Goes Flat as Breweries Call Last Orders
The UK’s brewing industry has hit a rough patch. Over the past year, 320 breweries have closed their doors, while only 170 new ones opened. This stark statistic highlights the decline of traditional British brewing, but it’s just the tip of the iceberg.
In Burton-upon-Trent, once the heartland of Britain’s beer industry, the streets are eerily quiet. The town that was once home to 30 breweries now boasts just eight, according to Camra data. Al Wall, head brewer at one of the remaining independent breweries, reminisces about the good old days when the air was thick with the scent of hops and malt.
The Campaign for Real Ale (CAMRA) has identified a key issue: the dominance of big brands in pubs. Large brewery companies own an increasingly large share of draught lines, making it difficult for smaller breweries to access these markets. Smaller breweries are also facing price undercutting in supermarkets, further limiting their ability to compete.
The shift in consumer habits is another factor contributing to the decline of small breweries. Just a decade ago, England was awash with new breweries. In 2017 alone, 317 opened. However, today the number of brewing companies in England has fallen below 2,000 for the first time since 2018. Of these, 95 are in administration, insolvency or liquidation.
This trend is not unique to Britain – Europe-wide, consolidation and fewer smaller breweries are becoming the norm. Tim Webb from CAMRA notes that this phenomenon is happening across Europe. But what does it mean for the future of British beer?
Some independent breweries are adapting by diversifying their offerings. Breweries like Hook Norton and Triple Point are opening taprooms, offering visitors centers, and experimenting with new styles. Andy Slee from the Society of Independent Brewers and Associates (Siba) believes that these innovations will be crucial in helping breweries survive.
However, there’s a deeper issue at play: taxation. Siba is calling for a reduction in tax on draught beer in pubs, citing the “suffocating level” of costs facing brewers. When a brewery dies, so too does a vital part of local community life – a place to meet, a source of employment, and a contributor to local taxes.
London remains an outlier – the only English region where the number of breweries did not decline last year. However, even here, smaller breweries face significant challenges in accessing markets and competing with larger brands.
As Al Wall and Emma Cole from Burton Bridge and Heritage Brewing Company hope to preserve their history and remain “a bastion of independence,” it’s clear that there are still many who believe in the value of traditional brewing. But as George Brook from Triple Point Brewery candidly admits, success has not come easily – and may never be secure.
The government’s recent review into barriers preventing small breweries from accessing pubs offers a glimmer of hope. With a £4.3 billion business rates support package on offer, perhaps there is a way forward for these struggling businesses. But until then, the beer boom will continue to go flat – and with it, a piece of Britain’s cultural heritage.
Reader Views
- CMColumnist M. Reid · opinion columnist
The decline of Britain's brewing industry is a sobering reminder that even the most beloved traditions can fall victim to economic reality and changing tastes. While CAMRA highlights the stranglehold of big brands on pub draught lines, a more nuanced issue is at play: the lack of innovation in smaller breweries' business models. Most taprooms and visitor centers, for instance, are little more than an add-on to existing production lines - rather than rethinking their entire commercial approach. Until small breweries adapt to these changing times, we can expect this downward trend to continue.
- ADAnalyst D. Park · policy analyst
The UK beer industry's decline is a symptom of a larger issue: homogenization of taste. As bigger brewery chains dominate pub shelves and supermarkets undercut smaller brewers' prices, consumers are losing out on diversity. We're witnessing a loss of character in British beer, replaced by bland, mass-produced alternatives. To truly revitalize the industry, policymakers must address these systemic issues – it's not just about supporting small breweries, but also creating a level playing field that allows for innovation and variety to flourish.
- CSCorrespondent S. Tan · field correspondent
The brewing industry's woes are largely self-inflicted. The dominance of big brands in pubs has stifled competition from smaller breweries, but this issue extends beyond pub walls. Online retailers like Amazon and direct-to-consumer models pioneered by craft breweries themselves have also disrupted traditional distribution channels. If we're to salvage the UK's beer heritage, policymakers must address these structural changes rather than just lamenting the decline of traditional brewing methods.