UK beer sales are down by 3.4% from July to September, compared to 2015, according to The British Beer & Pub Association (BBPA)’s quarterly Beer Barometer sales tracker.
But the organisation is remaining optimistic and claims the trend is “still broadly positive for the UK’s favourite pub drink.”
It argues that the 2014 figures had been given a boost by the Rugby World Cup, and that third quarter sales figures were up on the same period during 2014.
Quarterly beer sales hit a low in the second quarter of 2013, but have since stabilised after years of decline, and have not dropped below this level since.
The BBPA says the change in trend is down to a change in tax policy, with three beer duty cuts and a freeze in the past four Budgets helping to keep the price of beer affordable for consumers.
Beer duty is now 17% lower than it would have been under the previous ‘beer duty escalator’ policy.
Looking to the future
Brigid Simmonds, BPBA Chief Executive, warned challenges posed by Brexit meant that the industry would still need to lobby the Government for fair tax deals.
She said, “Whilst the overall trend is moving in the right direction, with the challenges of Brexit, it is vital we continue to enjoy supportive tax policies that boost consumer confidence in beer and pubs.
“We do need to see further beer tax cuts, so that we can compete with our European neighbours when we leave the EU, as many of these countries benefit from substantially lower tax rates on beer.”
David Cunningham, Programme Director of Britain’s Beer Alliance campaign, There’s A Beer For That, added, “Despite category volume growth remaining fragile, value growth continues to improve year on year. We continue to track positive changes in consumer attitude and behaviour towards beer.
“Beer penetration, usage and consideration have improved year on year and people are increasingly choosing to drink a beer with their meal in pubs, bars, restaurant and at home. However, there is still plenty of work to be done collectively to demonstrate beer’s quality, diversity and versatility.”
