E-Malt.com News article: 4685

United Kingdom: Some hard-pressed landlords across Greater Manchester say rising overheads and wholesale beer prices charged by breweries are forcing them to increase prices by a record amount, Manchester Online commented on April 14. A survey by pub industry newspaper the Morning Advertiser revealed that many pub licensees have had little choice but to raise the cost of a pint. Nationally the price of a pint of bitter is now £2.15 and £2.40 for lager, although in the north west prices are cheaper, with some ales starting at as little as £1.32.

Landlords say the annual round of brewery price rises have been compounded by steep increases in overheads, an increase in the minimum wage, fuel and rent increases and additional costs associated with the new Licensing Act. Gwen Partridge, manager of the Briton's Protection in Great Bridgewater Street, Manchester, said the price of beer had this week risen by 10p a pint. She added: "We have had to put it up. We have done all right because our pub is unique - it caters for a different clientele. In a normal pub the regulars would kick up."

Tony Payne, chief executive of the Federation of Licensed Victuallers, said: "Running costs are set to shoot up dramatically this year, but hosts have to protect their margins and increase their prices to safeguard profits and ensure a decent standard of living. I think they will have to spell out to customers just why prices have been forced to rise so sharply because, on this occasion, it is not all the fault of the brewers."

The bad news for pub goers comes as national figures reveal a 5.5 per cent drop in pub alcohol sales last year. This contrasts sharply with a nine per cent rise in drinks sales at off-licences and supermarkets.

However Phil Burke, of the Manchester Pub and Club Network, does not think the increase in prices will put customers off. He said: "Manchester prices are some of the cheapest in the country - cheaper than London, Birmingham and even Leeds. We try to keep our prices down and we look after our clientele."


17 April, 2005