Average price of a pint to soar above £5 for the first time
The average price of a pint of beer will cost more than £5 from next month, according to the British Beer and Pub Association (BBPA).
The trade association confirmed that the price increase is equivalent to around 21p and will move the dial from around £4.80 to £5.01.
The planned increase follows a series of cost rises that were unveiled in last October’s Budget that are set to come into force next month.
According to the BBPA, the total cost of the autumn Budget announcements in the beer and pub sector is estimated to be around £650million while some brewers already warning about the need to push up prices to manage additional costs.
Back in 2022, more than half (52%) of Brits already believed that the price of a pint of beer was unaffordable, according to a YouGov survey commissioned by the Campaign for Real Ale (CAMRA), as prices soared above £7 in the capital. Around the same time, Londoners had already feared they could be forced to pay £10.50 for a pint.
This year, Simon Dodd, chief executive of Young’s told the sector that the pub chain plans to increase its prices by between 2.5% and 3%. Similarly, budget pub chain Wetherspoons has also recently hiked the price of some of its drinks and meal deals by up to 30p. But it has been a sign of the times and gradually leaning that way. After all, even back in 2023, the average price of a pint of Carling in Wetherspoons had already increased 11% year-on-year.
Plus, over in Ireland last year there was already evidence of Dublin pubs charging more than £10 for pints, which sparked fear among beer lovers that more of Ireland’s pubs would soon raise their prices. Approximately one year ago Brits had also already seeing the average cost of a pint of Guinness having risen by 8% in pubs across the UK within a year.
However. this month, BBPA chief executive Emma McClarkin has since warned that the price increases are really the only way many pub and brewery businesses can continue to stay open.
McClarkin explained: “No one wants to see the cost of an average pint increase by a further 21p and break the £5 average pint barrier that will be required for pubs to maintain their punishingly slim profit margins.”
The BBPA’s McClarkin insisted that with this in mind it is “more urgent than ever” that the government looks at ways to cap or reduce the cost of doing business so pubs can stay open and ensure the price of a pint remains affordable.
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More than 400 pubs across England and Wales were demolished or converted for other uses in the year to December, according to figures published by the Altus Group.
As a result, the number of pubs across the two countries has now fallen below 39,000 for the first time. This is equal to more than 34 pubs a month closing down over the past year, marking the sharpest drop in pub numbers since 2021 amid the Coronavirus pandemic.
While the Budget announcement of a 1p duty cut on draught products and lower utility costs offered some relief for the beer sector upon its announcement, the new policies will still drive up costs in 2025.
Describing the issues, Frontier Economics associate director Tim Black highlighted how “the beer and pub sector has shown real resilience through a tough few years – navigating the pandemic, the energy crisis, and the cost-of-living squeeze.” But, he admitted: “Trading conditions are still challenging, but businesses have adapted.”
Looking at the postitives, Black noted: “There are signs of improved sentiment and fresh investment as extreme pressures ease and consumer confidence slowly picks up”. But, he warned: “More headwinds are coming” and reiterated how “the sector is at the sharp end of a wave of policy changes that will push up costs – higher wages, increased National Insurance, reduced business rates relief, and new packaging rules”.
This means, according to Black, that “the cumulative impact will be significant”. With this in mind, he also stated that to save pub and beer businesses “it’s vital that policymakers recognise these pressures and ensure the environment supports investment and growth”.
For beer drinkers looking to avoid the spiking costs, it has been revealed that the cheapest city for a pint is Newcastle Upon Tyne, following a 2024 polling of the best cities for an after-work beer.
According to Spacepool CEO and founder Eugene Tavyev, who conducted the research, costs will impact drinkers, but probably wont stop them from going out with friends at the end of the working day. Musing the issues, he suggested: “The rising price of a pint won’t stop office workers from seeking a nearby spot for a post-work drink [because] the tradition of unwinding and debriefing with colleagues after a long day at a desk is still very much alive.”
Despite this, Tavyev did still concede that the impact of pricing would still be felt and pointed out that “like with anything, the quality of the things we’re spending our hard-earned money on still comes into play”.
If you are looking further afield for a cheap pint, then Africa is the place to go with Bujumbura in Burundi takes the crown for the cheapest pint of beer in the world, costing only £0.46 on average. The other top five cheapest cities include Maseru, Lesotho (£0.62), Tripoli in Libya (£0.69), Lome, Togo (£0.73) and Kigali in Rwanda (£0.74).
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