£10 pints ‘not reflective of wider market’

Craft beer being poured into beer glasses.
It's no longer enjoying the meteoric growth rates of the past: but craft beer is keeping its cool (Image: Getty Images/SusumuYoshioka)

£10 pints are largely confined to premium hotels and do not reflect the wider market, operators have said, warning rising costs could make such prices more commonplace.

Earlier this week, it was reported a number of premium hotel bars in London were charging £10 or more for a pint of lager, prompting debate across the trade over whether such pricing signals a wider shift or remains an isolated feature of high-end venues.

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Pub operators across the sector have been quick to push back on the idea £10 pints are becoming standard, particularly outside the capital, but many warned mounting pressures across labour, energy, business rates and taxation could reshape pricing structures.

London-based operator Tim Skinner, who runs the Devonshire Arms in Marylebone, told The Morning Advertiser (The MA) while customers may expect to pay premium prices at luxury venues, £10 pints would represent a “significant barrier” for many guests in a pub setting.

Skinner, who charges between £6.50 and £7.20 for a pint of lager at his pub, also revealed he recently removed Guinness from his offering after a significant price increase, replacing it with Murphy’s stout.

He added he would not charge £10 for a pint unless both the product and environment “justified” it, but stressed operators are facing “enormous pressure” from rising costs.

“Pricing is increasingly being forced upwards rather than chosen”, he said.

“Pubs have spent years absorbing costs where possible, but there does come a point where some of that has to reach the bar price.

Hospitality experience

“At the same time, a great pub pint is not the same product as supermarket alcohol. A properly kept pint of cask ale or stout is a live hospitality experience; cellar management, line cleaning, temperature control, glassware, staff training and throughput all matter enormously.

“In a well-run pub, you’re paying for quality, consistency, atmosphere and social experience as much as the liquid itself.”

Echoing that sentiment, Barr & Barr Hospitality co-owner Rob Barr, who runs three sites across Dorset and West Sussex, said while a £10 pint “sounds ridiculous”, it is reflective of the current climate pubs are operating in.

He told The MA he disagrees with charging £10 for a pint in principle, but understands why some operators may feel they have no choice.

“The average pint of lager in our pubs is £5.80. It’s hard to consider whether I would charge £10 a pint. I believe pubs should be accessible to everyone”, he said.

“Pubs are already absorbing a considerable amount of cost inflation rather than passing all of it directly onto customers.”

Three Hills managing director Emma Harrison

“But the constant barrage of turnover taxes, wage pressures, energy bills, challenging trading conditions are all moving pubs to this kind of pricing. The Government need to level the playing field for the industry against large supermarkets.”

Meanwhile, JW Lees managing director William Lees-Jones said £10 pints are becoming “inevitable”, though he stressed context is key, noting venues featuring in recent reports are premium hotels rather than pubs.

He said the Manchester-based brewer and pub operator would “always do everything it can” to keep a pint affordable, but warned rising wage and energy costs will force difficult decisions on pricing across the sector.

Elsewhere, Staffordshire-based operator George Greenaway, who runs the Tamworth Tap, said London would “always be the first to break through previously thinkable price milestones”.

Threat to viability

Though he added venues charging £10 for a pint should “not be criticised”, telling The MA: “If the costs and gross profit combine to calculate to £10 per pint then there’s an immediate threat to the viability of the venue due to its location.”

A pint at the Tamworth Tap currently costs between £4.80 and £6 depending on strength and exclusivity, but Greenaway warned urgent Government action is needed to ease cost pressures and avoid further price rises.

Moreover, managing director of The Three Hills at Bartlow in Cambridge, Emma Harrison, noted hotels in particular have seen significant increases in business rates, having not benefitted from the relief currently available to other hospitality venues.

In addition, the managing director said breweries are also facing higher production and distribution costs, which inevitably feeds through to pubs.

“At The Three Hills, a pint of lager is currently around £6.80, and a pint of bitter is £4.95. £10 pints feel extreme outside of central London or event venues, but the industry is moving into a period where prices that once seemed unrealistic are becoming more common", she continued.

Though Harrison added rural pubs like The Three Hills would be reluctant to cross the £10 threshold for a standard pint, describing it as a “psychological threshold” for many customers.

“Value perception remains incredibly important to guests”, she said.

“Pubs are already absorbing a considerable amount of cost inflation rather than passing all of it directly onto customers.

“The challenge for operators is balancing sustainability with maintaining the sense that going to the pub is still an accessible treat rather than a luxury.”