SURGING production costs could soon see the average price of a pint exceed £7, a Scottish brewer has warned.
Brewgooder has said that factors such as the war in Ukraine, soaring inflation and an upcoming increase in duty have created a “perfect storm” for brewers which are all pushing prices up. Additionally, the cost of materials such as wheat and barley as well as carbon dioxide have risen dramatically in the course of this year, putting even more pressure on prices.
“From what we are seeing, the pressures on the industry with cost price inflation challenges and the chancellor’s scrapping of the alcohol duty freeze might make a £7 pint the norm rather than the exception in many places – particularly in bigger cities,” said Brewgooder co-founder, Alan Mahon.
“This is bound to make a pint a relative luxury for a lot of people, something we should all be concerned about and force us all to take stock of the challenges facing the beer industry.
“Footfall to the on-trade has definitely been one of the biggest challenges facing the industry, with consumers having to make difficult choices on where to spend their money. A potential bright spot for the industry might be the winter World Cup rolling into the Christmas season providing a double shot in the arm for venues.”
Mahon added that the beer and pub sectors will need support from both the public and the government if they are to weather the current storm.
“The beer and pub trade is a resilient industry, one that’s full of passionate people who will dig deep during the challenges to come,” said Mahon.
“It’s important for the public and the government to recognise their efforts with support in the coming few months.”
Describing itself as a “purpose-led brewer”, Brewgooder donates money from every beer it sells to good causes. This year it is on course to donate £100,000 to food bank initiatives across the UK as well as clean water projects around the world.
