Launched on Monday 13 April, the latest Independent Beer Report from the Society of Independent Brewers (SIBA) showed 32% of indie brewers expected their turnover to drop in 2026.
This was up 2% on last year, making survival the top priority for 46% of members surveyed.
According to the data, there are currently 1,578 active breweries in the UK, with independent brewers producing 6% of the beer made across the country.
Pub closures have also meant market access for independent breweries has become more restricted.
While demand for indie brewers from consumers remains strong, 62% of brewers reported not be able to access pubs in their local market because of domination from global brewers, up two percentage points on last year.
This was supported by a reduction in independent brewers’ keg volumes, which dropped from 24% to 19% of production, despite an increased desire for keg stout and craft lager from indie producers.
Pessimistic outlook
Securing investment also remains a challenge as more than half (53%) of those surveyed did not seek investment last year, attributed in the report to the Government’s exclusion of brewing and hospitality in its industrial strategy.
Speaking at the launch of the beer report, held at Sambrook’s Brewery in Wandsworth, south-west London, SIBA CEO Andy Slee said: “Demand is not the challenge, it is profitability.
“It is an outrage that hospitality businesses of all sizes pay up to 40% of their turnover in tax, yet big online businesses pay less than 10%.”
Report editor Caroline Nodder added while the outlook for 2026 was “pessimistic”, there were some bright spots, notably on staff development.
Some 31% of SIBA members considered upskilling teams a top priority for 2026. In addition, 18% of the indie beer workforce was found to currently have or be working towards a qualification.
Moreover, around 786 new jobs are expected to be created by SIBA members this year.
Beer volumes from independent breweries were also just ahead of pre-Covid levels, outperforming the rest of the beer category.
There has also been an increase in the number of consumers drinking beer, with 89% of 18 to 24-year-olds wanting a range of beer from small breweries and global brewers in pubs.
Challenging margins
Despite rapid pub closures, 82% of independent breweries surveyed said they continue to diversify their route to market, selling to local pubs, bottle shops, wholesalers and national on-trade venues.
In addition, 46% of SIBA breweries now have their own taproom, up 10% year-on-year, and a further 51% now have an on-site bottle shop, up 9% on 2025.
Moreover, UK breweries donated an average of £3,567 to charity last year, with 91% of SIBA members saying their relationship with the local community is important.
However, the top five issues for the independent brewing sector continue to threaten viability.
These were found to be alcohol taxation, dominance of global brewers, energy prices/market access, ingredient prices and employment/staffing.
Slee added: “You don’t need me to tell this is an exceptionally challenging environment, whether on a geopolitical level...or what is going on in hospitality.
“Support and demand for independent beer is holding up, ahead of the market, making the margin on that remains a challenge.”
