The UK’s independent brewing industry experienced a sharp decline in 2024, with 100 breweries closing, according to the Society of Independent Brewers (Siba).
The number of active breweries dropped to 1,715 by the end of the year, down from 1,815 in 2023, according to Siba. This marks the steepest annual decline since Siba began tracking the figures three years ago.
According to Siba, the closures reflect rising costs, aggressive competition from global beer giants, and reduced consumer spending due to the ongoing cost of living crisis.
A divide within the industry over reforms to the Small Brewers’ Relief (SBR) scheme is adding further strain.
Introduced in 2002, SBR offers a 50% discount on beer duty for breweries producing up to 5,000 hectolitres a year. While this helped fuel the UK’s craft beer boom, mid-sized brewers argue it now discourages growth, as the discount sharply drops off beyond the threshold.
The Small Brewers Duty Reform Coalition (SBDRC), formed in 2017, has called for a gradual tapering of the relief as production scales up. In contrast, Siba argues that the current system helps small brewers reinvest profits and stay competitive in an increasingly challenging market.
Rising ingredient costs, inflation, and increased alcohol duties, particularly affecting stronger brews, have further reduced profit margins. Siba and industry observers have also pointed to large brewers buying out smaller labels and marketing them as “craft” through pub chains they own, which limits genuine independents’ access to the market. This concern has been echoed by trade publications and smaller brewers affected by such acquisitions.
In response, Siba has adopted the term “indie beer” to distinguish truly independent brewers from corporate-owned brands.
Several notable breweries, such as Wild Card, Top Rope, and Little Monster, closed in 2024, losses often highlighted by industry insiders and beer enthusiasts. Others, including North Brewing Co. and Brick Brewery, were acquired by Keystone Brewing Group (formerly Breal Group) after facing financial difficulties.
Siba CEO Andy Slee stated that stronger local support could help stabilize the sector. He said: “Given the demand for independent beer isn’t being met locally, you have to wonder whether more local beer in community pubs would help pub closure rates as well.”