Figures from the SIBA UK Brewery Tracker show that as of January 2025, there were 1,715 open breweries, down from 1,815 in January 2024, while each quarter of last year displayed a negative net closure rate.
Furthermore, the fall in brewery numbers over the last 12 months is much higher than in recent years, with the total falling by just eight during 2023.
SIBA put the trend down to legacy Covid debt, restricted access to market via pubs and tight margins for small breweries.
“The consumer appetite for independent beer is high and our indications suggest volumes for independent beer at the end of 2024 were up on 2023 – the issue for small independent breweries is lack of access to market and rising costs, making it incredibly difficult to remain profitable,” said Andy Slee, SIBA chief executive.
“Speaking to many indie brewers who have closed their doors over the last twelve months it is a very similar story; they can’t sell into enough of their local pubs and make enough of a profit to remain viable. Given the demand for independent beer isn’t being met locally you have to wonder whether more local beer in community pubs would help pub closure rates as well.”
Despite the gloom, the closure rate slowed throughout the year after an eye-popping 38 net closures in Q1 of 2024.
There was also some positivity in Wales, which saw overall brewery numbers rise from 96 to 97. Brewery numbers declined by six in Northern Ireland, while at least 11 closed in Scotland.
“Brewery closures were at their highest in the first quarter of 2024 and steadily and encouragingly declined throughout the year, with the slowest rate of closures recorded in Q4 leading up until the end of December,” Slee added.
“As we begin 2025 our hope is that the dial continues to turn in the right direction and we see stable or even growing brewery numbers in the UK; however this will not happen without greater support from Government for the hugely valued indie brewers all across the UK.”