UK: Campaign for Real Ale fearful about future of ‘UK beers, brands, and breweries’ following Marston’s decision to leave brewing side of industry

The Campaign for Real Ale (Camra) says it is fearful about the future of "UK beers, brands and breweries" after this week’s announcement that Marston's is to leave the brewing side of the industry and focus on running pubs, BBC reported on July 9.

The company said it had sold its 40% stake in brewing company Carlsberg Marston’s Brewing Company (CMBC), with Carlsberg acquiring the share for £206m in a sale that had "significantly reduced" debt.

The joint-venture had been operating from an historic brewing site in Chapel Ash, Wolverhampton.

Jacob Collier, the MP representing Burton, an area itself steeped in brewing history, said he was concerned by the news and what the effect might be on those employed within the industry, including those in his own nearby constituency. The BBC has invited Carlsberg to comment on its plans.

Marston's and Carlsberg announced a merger four years ago to form CMBC, in a move that involved Marston's six breweries and distribution depots, but not its pubs.

However, Marston’s said it would continue its "strong partnership" with CMBC through the long-term brand distribution agreement which remained in place.

Carlsberg has also announced it has bought Britvic, the company that makes drinks such as Robinsons squash and J20, for £3.3m.

Camra chairman Nik Antona said it was "a worrying development" for Britain's brewing heritage.

He said he stated his view in context of "Marston's remaining brewing assets being transferred to a global brewing business which has already presided over the closure of historic breweries".

Mr Antona added: "The consolidation of the brewing industry into just a few large, international players erodes our brewing heritage, consumer choice, the diversity of beer in pubs across the country and the access to market for small, independent producers."

Mr Collier, Labour MP for Burton and Uttoxeter, said on X the brewing history in Burton, external had "shaped our very identity as a town", adding thousands of "local jobs rely directly and indirectly on the industry".

He stated on the social media platform he would be writing to Carlsberg to request an urgent meeting and engaging with ministerial colleagues, employees and their unions.

Chief executive officer of Marston's, Justin Platt, said it had become clear to him that the "key opportunity to unlock value for shareholders" was in driving a "successful pub business".

He added the deal "further strengthens our balance sheet, significantly reducing our debt by over £200m".

10 July, 2024