Rate of beer sales decline slowing

Beer sales in supermarkets declined faster than in pubs during the second quarter of 2009, according to latest figures from the British Beer & Pub Association (BBPA).

The UK Quarterly Beer Barometer, published today, reveals that beer sales were down 4.8 per cent compared to the same period last year with a 4.5 per cent slump in pubs and a 5.2 per cent drop in the off-trade.

In the first period of the year the overall rate of decline was 7.8 per cent and the quarter before 8.3 per cent.

Pub beer sales fell 6.3 per cent in the first quarter of 2009 and 9.9 per cent in the last quarter of 2008.

The BBPA said the slowing down in the rate of decline indicates the market is stabilising, but added the figures were still disappointing.

David Long, BBPA chief executive, said: "Whilst welcoming a slowing of the decline in beer sales, we are wary about reading too much into these early signs.

"However, the new figures give some ground for cautious optimism that some speck of faint light may be appearing at the end of the tunnel.

"Considerable economic uncertainty remains about the short and medium term. We must therefore remain careful not to take too much from what are still disappointing figures."

The 4.5 per cent fall means 4.2 million fewer pints were drunk each week in pubs during the second quarter compared with the same period in 2008.

The BBPA added that the drop in sales means government tax revenues from beer for the first half of the year are estimated to be down £156 million compared with the first six months of last year.