You are currently viewing the International Edition. You can also switch to the Hong Kong Edition.
Thursday 2 July 2015

Indie brewers thriving after beer duty cut

26th February, 2014 by Lauren Eads

UK independent brewers are seeing an increase in sales and re-investing in their businesses thanks to the scrapping of the beer duty escalator, according to the the Society of Independent Brewers (SIBA) Beer Report 2014.

Britain BeerVolume sales of the organisation’s members grew by an estimated 7.9% in 2013 to 1.55 million barrels – meaning the nation’s beer lovers drank nearly 33 million more pints of local beer than in 2012.

The Beer Report is based on survey responses from around 250 SIBA brewers in the UK – of its total 723 members – who between them brewed close to 10,000 different beers in 2013.

Members reported the creations of 900 new jobs with 60% of businesses made a significant capital investment in their business.

SIBA has put the success down to the scrapping of the beer duty escalator in 2013’s budget – which automatically increased beer duty by 2% above inflation each year – a move that is currently being campaigned for within the wine and spirits industry.

Earlier this year ‘Call Time on Duty’ was launched – a campaign spearheaded by The Wine and Spirit Trade Association (WSTA), Taxpayer’s Alliance and Scotch Whisky Association to go one step further and end the alcohol duty escalator which they say unfairly penalises the drinks industry.

Julian Grocock, SIBA chief executive said, “Beer Report 2014 should provide the Chancellor with much to cheer, demonstrating as it does the wisdom of his decision this time last year to end the beer duty escalator.

“That decision sent a clear signal that the government recognises the vital contribution that independent brewers, economically and socially, make to the hundreds of localities where they are based.

“In response, our members, feeling more confident in the long-term prospects for our industry, have invested in their businesses by buying new equipment, opening pubs and recruiting new staff.”

However with pubs still closing at a rapid rate in the UK, and with the 2014 Budget a month away, SIBA has joined industry calls for a freeze on beer duty to further help boost the industry.

The report also highlights production levels of beer in 2013 with SIBA brewers producing some 4,000 permanent cask ales in 2013 – a 25% increase on 2012 – as well as 5,800 seasonal and specials.

Golden ale was the most widely brewed beer, with 97% of SIBA members listing one in their portfolio, while 89% brew a traditional bitter and 60% a strong bitter or IPA.

Stouts and porters are brewed by 53%, while further down the table, some newer beer styles are making inroads: 14% now brew a varietal or green hop beer and 5% an unfined cask beer.

Draught beer – the vast majority of it in cask – accounts for 85% of SIBA members’ total output.

75% of them now bottle a proportion of their beer – on average, five beers per brewer – and 19% of members are producing some craft beer in keg.

The sheer choice of beer available stands in contrast to the industry in 1975 when the Good Beer Guide listed 87 brewers producing a total of just 1,500 beers.

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>

If that's interesting, how about these?

Flavoured styles lead drinks NPD

A new report from Nielsen shows that flavoured variants are dominating more...

AB InBev invests $1.5bn in US

Brewing colossus Anheuser-Busch InBev has announced plans to invest over US$1 more...

Auction house snaps up online wine specialist

Online auction firm Bid for Wine has been sold to The Fine Art Auction Group in more...

PR Senior Account Manager/Director

London, United Kingdom

Depending on experience

Diageo 'shelves' £240m Chinese scheme

Swellfun, the Chinese subsidiary of drinks giant Diageo, has reportedly more...

Carlsberg creates beer-shampoo

Danish brewer Carlsberg has launched a new range of men’s grooming products more...

Top 10 new craft beers

With new beers coming onto the market all the time, it can be difficult to keep more...

Sales Executive - Wines & Spirits Competitions

London, United Kingdom

Competitive

Diageo closes in on £200m Gleneagles deal

Drinks giant Diageo is reportedly “close” to agreeing a sale of its luxury more...

Beck's forced to issue $50 refunds

Anyone that has bought a Beck's beer in the past four years could be entitled more...

Queen releases Bohemian Lager

Rock band Queen have launched a lager to celebrate 40 years since the release more...

Hatch Mansfield – Brand Manager

London, United Kingdom

Competitive salary

Chinese student builds house out of beer bottles

An engineering graduate and his father have built a two-storey house made out more...

SWA creates heavyweight London team

The Scotch Whisky Association has appointed a number of senior high-fliers from more...

World's best beer and wine festivals

Forget Glastonbury, these are the festivals you should be making a beeline for more...

Brewers and suppliers tack on to craft

Leading drinks suppliers and brewing companies are expanding their craft beer more...

Top 10 Hong Kong craft beer bars

Anyone looking to quench their thirst with a ginseng microbrew should more...

Beer festival in China’s Muslim area angers 'exiles'

In China’s predominantly Muslim region of Xinjiang, exiled groups of Uighur more...

London Sales Manager / Key Account Manager

London, United Kingdom

Competitive - depending on skills and experience

Oregon producer takes international view

One of Oregon’s youngest wine estates has partnered with Jackson Family Wines more...

UK customs seize 550,000 litres of alcohol

More than 550,000 litres of illegal beer, wine and spirits have been seized by more...

UK market in growth as price increases slow

The latest figures from the Wine and Spirit Trade Association show that more...

UK Sales Manager

London, United Kingdom

Antipodean craft brewers in tax tussle

A proposed tax refund for craft brewers in Australia should not be extended to more...

World's cheapest city for a beer revealed

The average price of a bottle of beer is £1.07 in Krakow and Kiev, making them more...