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Licensees face further beer price increases in 2013

By Adam Pescod , 10-Jan-2013
Last updated the 10-Jan-2013 at 13:59 GMT

Related topics: General News

Major brewers have revealed their wholesale beer price increases for 2013, with licensees facing rises of up to 5p per pint in some instances.

Increases: brewers have announced their price hikes for 2013

Increases: brewers have announced their price hikes for 2013

The rising cost of raw materials, energy and distribution have been identified by brewers as the main reasons for the increases, as well as the beer-duty escalator.

While the price rises are not as high as last year, Punch Taverns has already said that it will review its pricing structure for tenants following the brewers’ announcements.

Molson Coors will be putting its prices up by an average of 3.1% from 14 January. This is the equivalent of £15 per barrel for Carling, or 5p per pint.

David Heede, finance director for Molson Coors (UK & Ireland), said: “The increase is due to rising prices that affect all brewers, especially the continued increases in energy, raw materials and distribution costs.

“At Molson Coors, we have continued to work hard to cut costs associated with the production and supply of our beers in order to keep the level of increase to a minimum.”

Carlsberg is also putting up prices by an average of 5p per pint from 21 January to reflect “the rising cost of raw materials, energy and fuel”.

Benet Slay, CEO of Carlsberg UK, said: “We are acutely aware of the challenging market and have absorbed as much cost as possible to remain competitive and make sure that the price increase is kept to a minimum while continuing to provide great customer service.”

Meanwhile, Heineken has informed its customers that it is to raise the wholesale selling prices of its draught and packaged beer brands from 4 February, with its most popular lager, Foster’s, to see an increase of £14.30 per barrel, or around 5p per pint.

AB InBev customers are facing price increases of 4.7% across all of the brewer’s brands including Stella Artois, with the price per pint expected to rise by between 3p and 4p from 1 February.

Diageo will also be increasing the price of Guinness Draught, Guinness Surger and Red Stripe by 5% on 1 February 2013.

London-based brewery Fuller’s expects to implement its annual price increase in the spring while the Bedford-based brewery Wells & Young’s said that it has “no current plans” to increase its prices.

A spokesperson for Punch Taverns said: “As the major brewers have announced their wholesale prices, we are reviewing our own pricing structure and will notify our partners in advance of any changes that we intend to make.”

Enterprise Inns said it was not willing to comment on price rises.

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