Major brewers add 3.5p to 7p per pint

Major brewers have announced wholesale price rises of between 3.5p and 7p per pint for January and February, the Morning Advertiser has learned.

Fosters and Kronenbourg brewer Heineken UK is increasing prices by between 4p and 5p on Monday 7 February, a duty-inclusive increase of 3.6%. The increase varies according to brand and applies to all packaged and draught beers.

From 1 February, ABInBev is adding 5p to pints of Stella Artois, 7p to pints of Becks Vier, and 1p to Stella Artois 4.

The smallest rise comes from Molson Coors, which is adding 3.5p to pints of Carling, a 2.3% rise, from 24 January. That increase follows a 7p-per-pint rise in January 2010.

The Morning Advertiser revealed earlier today that Carlsberg UK is adding 5p to pints from 31 January.

And last month Diageo revealed a 5% wholesale price rise (excluding duty and VAT) for Guinness from 1 February.

The news puts yet more pressure on licensees, following the 4 January VAT rise and the impending increase in beer duty.

A Heineken UK spokesman said: "Our annual pricing review is a commercial decision and takes into account a number of factors including increased input costs, many of which have risen well over the rate of inflation.

"As ever, we work hard to absorb some of these increased costs and to buy competitively but, sadly, we must pass on an element to our customers."

David Heede, finance director at Molson Coors (UK), "Molson Coors (UK) reviews its wholesale prices regularly in order to remain competitive in the market place and we have taken all reasonable measures to increase the efficiency of our operations and minimise the level of increase required in 2011.

"We are committed to increasing investment in our brands in 2011 to add value to our customers and, at 2.3%, our increase is behind the current UK inflation rate."

Pub tenants will now be eagerly awaiting news of whether their pubcos will pass on or absorb the wholesale price hikes.

- Have you been told of other price rises from brewers? Email john.harrington@william-reed.co.uk