UK: UK beer giants under fire over planned price rises

The death of the pint could be a step closer after the UK breweries came under fire over planned New Year price rises, BT reported on January 7.

Two breweries - Molson Coors, makers of Carling, and Guinness giant Diageo - have revealed their intention to hike the price of a pint.

Leading industry figures have attacked the new plans.

“Grain and barley prices have halved since 2012, fuel is at its lowest price for years, meaning delivery costs must have been reduced,” Paul Wigham, chief executive of pub group All Out Bars, told The Publican’s Morning Advertiser.

“There’s no wage inflation. I don’t understand how prices can be going up.”

Tim Bird, who runs the Cheshire Cat Pub Company, warned in December that “savvy” customers were already questioning prices.

“If brewers put their prices up - outside a duty increase - then where I can, I will stop selling those brands and move to more competitive alternatives - and I would ask other businesses to do the same,” he said.

“These annual increases are becoming almost the norm.

“Every year, there seems to be a reason for not holding prices or dropping them.”

Defending their plans, Molson Coors said: “The increase is due to rising costs.”

Diageo, makers of Guinness, added: “The price increase on Guinness has been kept to a minimum but is essential if we are to continue to invest strongly.”

According to the Good Pub Guide 2016 the cheapest pint of beer in the UK can be bought for £3.10 in Herefordshire.

While Londoners pay out £3.92 on average across the capital, some are faced with shelling out more than £4 a pint.

08 January, 2016