The UK saw a net closure rate on 13 breweries in 2023, according to the SIBA (Society of Independent Brewers) Brewery Tracker.
New figures released by SIBA show the total number of active UK brewers now stands at 1815, compared to 1828 in January 2023.
The data tracks all new brewery openings and closures to give a quarterly growth or closure rate. Despite a promising third quarter where numbers rose slightly, the tracker finished the year with a -2 net closure rate in the fourth quarter, leading to an overall net closure rate of -13 for 2023.
“There is still so much that needs to be done to protect independent breweries across the UK, with help from government on a range of issues now more important than ever if we want to turn the tide and see a growing beer industry in 2024,” said SIBA chief executive Andy Slee.
“Trading has been incredibly tough for independent breweries, and whilst the government’s introduction of draught relief for beer sold in pubs and taprooms last year was welcome, we would like to see it extended in 2024 to a significant 20% discount.”
The knock-on effect for consumers is not just a reduction in beer choice on the bar, but the loss of a valued local business. Eight out of ten consumers say a well-run independent brewery has a positive effect on its local community. Independent brewers employ more than 10,000 people nationally.
Andy added: “What is perhaps most worrying about the figures are the level of closures being experienced in the North of England,- with the North West seeing a net closure rate that is higher than the national figure at a huge -14. And the North East didn’t fare much better, with the second highest in the UK and a -9 net closure rate for 2023.
“It is in these areas where the combined effect of rising production costs hurting margins and the cost of living crisis lowering sales appear to be hitting brewery businesses the hardest, with worrying independent brewery closure rates across the North.”
