Beer sales are beginning to improve, says BBPA

29th July 2009, 8:37am

The decline in beer sales is finally starting to slow, according to the UK Quarterly Beer Barometer published today by the British Beer & Pub Association.

The new figures show that UK beer sales dropped by 4.8% in the second quarter of 2009.

This is less than the 8.3% fall in the final quarter of 2008 and the 7.8% drop in the first quarter of this year, indicating that the UK beer sector may be on the road to stabilising.

Beer sales in pubs are down 4.5% compared to the second quarter in 2008. Pub beer sales fell 6.3% in the first quarter of 2009 and 9.9 per cent in the last quarter of 2008.

The 4.5% fall means 4.2 million fewer pints were drunk each week in pubs during the second quarter compared with the same period in 2008. In total, 54.6 million fewer pints were consumed in pubs in the second quarter of this year compared with last year.

Supermarkets and off-licence sales are down 5.2% this quarter compared with the same quarter in 2008 – the equivalent of 4.2 million pints each week. Beer sales in supermarkets and off-licences have now fallen at a faster rate than sales in pubs for two consecutive quarters.

These latest figures are further bad news for Government tax returns. 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.

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.

"Consumer spending on beer remains constrained in both pubs and supermarkets. 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."

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