Brakspear to close its brewery
Brakspear, the Oxfordshire-based brewer and pub retailer, has announced that it is to quit brewing.
Following a strategic review, Brakspear announced it is to sell its Henley town centre brewery site by the turn of the year to end its 200-year-old beer-making operations.
Its beer brands will now be brewed under licence by Refresh (UK) which signed an agreement with the brewer this week. Brakspear is to concentrate on the development of its tenanted pub estate.
Brakspear chairman Mike Foster said: "The profitable sales of Brakspear beer to our pub estate are in gentle decline and in the freetrade we are faced with ever increasing pressure for discounts.
"The situation was not helped by Chancellor Gordon Brown's recent decision to exclude companies like Brakspear from the progressive duty tax break granted to smaller brewers."
Refresh (UK), which owns the Wychwood Brewery, will handle the production, marketing and distribution of Brakspear beers. It is currently looking for a new site on which to establish a small specialist brewery.
"We are totally committed to maintaining the heritage and products of Brakspear," said Refresh managing director Rupert Thompson. "Brakspear is a very strong brand and this arrangement gives us a very strong cask ale proposition."
The Publican.com reported the Brakspear's imminent exit from brewing in April (22). At the time, a property agent revealed that the Henley site had been valued at £10m, two years ago.
The Campaign for Real Ale (CAMRA) has opposed Brakspear's decision to close its historic brewery.
Spokesman Mike Benner said: "We believe the company should remain vertically integrated as it is likely that the pub estate will be lost to a larger company in the same way as its Oxfordshire neighbours Morrells.
"I think some bad decisions have been made in the past with management concentrating too much on getting low profit heavily discounted volume through pub chains and not enough marketing the beers as the truly unique and flavoursome premium beers they are."
Related articles:
Campaign to save Brakspear's historic beer launched (5 June 2002)
Brakspear considers brewing exit (23 April 2002)
