Heineken has announced that it intends to close Edinburgh’s Caledonian Brewery. It says the business is ‘economically unviable’.

Caledonian Brewery
Photograph: Caledonian Brewery

Caledonian was founded in 1869. In 2008 it was acquired by Scottish and Newcastle, which later came under the Heineken umbrella.

Matt Callan, supply chan director at Heineken UK, said: “We’re acutely aware of what the brewery represents in Edinburgh, and its role in the history and heritage of brewing in Scotland. This is something we’re incredibly proud of. “Our primary focus is the 30 colleagues based there and we’ll now enter into a period of consultation.

“The sad fact is, its Victorian infrastructure means significant inefficiencies and costs, particularly as it is operating below capacity. To modernise the brewery, and to meet our own sustainability commitments, would require considerable ongoing investment, which would make operating the brewery economically unviable.”

It is understood that Heinken has come to an agreement with Greene King for Caledonian brands to made at its Belhaven brewery.