Independent brewers call for urgent action over energy prices

By Michelle Perrett

- Last updated on GMT

Brewers call for urgent action over energy prices
Brewers call for urgent action over energy prices

Related tags Drinks Supply chain

Organisations representing the UK’s independent brewers and beer consumers have called for urgent action on energy and support for the sector.

The Society of Independent Brewers (SIBA) and the Campaign for Real Ale (CAMRA) have jointly signed a letter to the Chancellor highlighting the challenges which are putting the future of the UK beer industry at risk.

The organisations have highlighted that brewers are facing skyrocketing energy bills, frequent ingredient shortages and price hikes with consumers are unable to afford to support local pubs.  

Urgent cap

They are calling on Government to help by introducing an urgent cap on energy prices for small businesses as well as greater support to go green and reduce their energy needs through grants for renewable technology.

SIBA and CAMRA have also voiced concerns that the “far-reaching reforms”​ to alcohol duty will be delayed from next year including to the Draught Duty Rate which would give a 5% reduction in duty for beer sold in pubs. 

The organisations have asked the Government to press ahead and prioritise these changes to help consumers, pubs and the brewing sector, but also expand the scheme to include the containers used by smaller breweries such as 20 and 30 litre casks and kegs.

Roy Allkin, chairman of the SIBA said: “With energy bills soaring we are calling on Government to back British beer and help independent brewers with an energy price cap for small businesses and to offer grants and incentives for the many businesses looking to brew with more green energy. 

Duty

"It is also vital that the Governments plan to tempt people back to the pub with a new discounted draught duty rate is extended to the smaller twenty and thirty litre containers used by small brewers, or risk Global lager brands being the only ones who benefit."

Nik Antona, chairman of consumer group CAMRA, said: “With businesses having pulled out all the stops to make it through the pandemic, it would be a travesty if more of our local, small and independent breweries were forced to close for good now due to the crisis with the cost of energy, goods, and doing business.”

The news comes as the Morning Advertiser, the  sister title to Food Manufacture, revealed that nearly three-quarter of pubs​ were unlikely to survive the winter unless action is taken to solve the energy crisis.

 

Related topics Drinks Operations

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