Current price of a pint in London
Beer could hit an average £4 per pint at pubs in the capital this year as brewers face rising production costs, a trade body has warned.
The British Beer and Pub Association (BBPA) said the £4 pint would also start making in-roads elsewhere in the UK.
This is mainly due to the soaring wholesale costs of grain, energy and petrol making production more expensive, the group said.
BBPA director of communications Mark Hastings warned: ‘The average price in London is now round about £3.80.
‘What we are saying is that in the course of this year there will be a series of price rises which will take prices above the £4 point.
‘And in other parts of the country the £4 pint will become a feature on the landscape.’
Beer and lager
Mr Hastings said the increased price of metal and glass used to make storage for beer and lager were also factors in the anticipated £4 price for a London pint.
His comments followed Scottish & Newcastle’s announcement of an 8% fall in UK profits during 2007.
The brewing giant blamed the drop on a 3.9% decline in the overall UK beer market during a challenging year for the industry.
Scottish & Newcastle
Scottish & Newcastle, which makes brands such as John Smith’s, Kronenbourg and Foster’s, predicted its costs would rise by 8.5% this year.
But the firm expected average price rises for its wholly owned brands to be only 2% to 3%.
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