Tag: Beer Barometer

BBPA reports drop in beer sales

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.”

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On-trade outperforms off-trade when it comes to beer sales

The new UK ‘Beer Barometer’ shows pub beer sales slipped 3.4% in 2011, but off trade sales were down 3.7%
The figures, published by the British Beer & Pub Association, also revealed that the fall in beer sales has slowed. The fall in pub sales of 3.4% was the slowest rate of decline since 2004. This trend is also linked to a slowing in the rate of pub closures. It is the first time since 1996, when the European Championships were held in England, that the off-trade has put in a weaker performance than the on-trade.The BBPA believe it could be halted if the Government abandons damaging plans for yet-more, above-inflation rises in Beer Tax in the March Budget.
Brigid Simmonds, Chief Executive of the British Beer & Pub Association, comments, “The decline in beer sales has slowed, but these figures show the sector cannot afford another round of inflation-busting, Beer Tax hikes in the Budget. This will delay any potential recovery in an iconic and economically vital British industry.”
She continues, “A change of course, giving brewers and pubs a chance to invest and expand their operations – could create over five thousand jobs in 2012 –which should be a great year for British beer and pubs with the Queen’s Jubilee, Euro 2012, the Olympics and Paralympics. These events could provide a real boost for the UK economy and boost employment – but this will only be possible if the Government reverses planned tax increases and damaging over-regulation.”
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UK Quarterly Beer Barometer Q4 2011

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