The UK has lost 137 brewers in the last year as the cost of operating becomes increasingly unsustainable, reported the Society of Independent Brewers and Associates (SIBA).
In its Independent Beer Report 2026, released today, SIBA found that 49% of breweries named survival as their top priority for the year ahead, with 32% expecting profits to fall.
At the same time, exports of UK beer declined over the past year, dropping from 12% to 8% in the 12-month period. Annual beer production likewise fell among SIBA members by 10% from 2024 to 2025.
On- vs off-trade
The report found that the way consumers are drinking independent beer is also shifting. According to SIBA, the on-trade market lost a portion of its market share to the off-trade in 2025, with the latter now making up 58% of beer sales.
The association said that on-trade sales were down by 1.9% in 2025, compounding a 0.5% decline the previous year. It added that this is likely a result of pub closures and the cost-of-living crisis.
Despite making up more of the market share, off-trade sales were also down in 2025 by a comparable 1.7%, pointing to lower consumption overall.
Craft in context
Within the wider category, SIBA said that craft beer holds 6.8% of the total beer category, a figure that declined by 0.3% in 2025.
Drawing on data from NIQ, SIBA noted that these figures are somewhat subjective, as they include ‘crafty’ brands owned by global companies, including the likes of Brewdog, which saw a large dip in 2025.
Nonetheless, the data from NIQ pointed to some interesting trends within the craft space, namely that price remains a pivotal factor in purchasing, with 46.7% of craft beer being bought on promotion.
Looking ahead
Looking ahead to 2026, 31% of brewers said that their priority was to develop their staff, while 30% noted plans to improve beer quality.
Concurrently, 27% of respondents plan to invest in new equipment, 21% anticipate expanding their brewery and 10% intend to open a new taproom.
Considering challenges for the year ahead, taxes remain at the top of the list of issues facing independent brewers. SIBA noted that this is not a surprise, with UK brewers generally paying a disproportionate amount of duty compared to mainland Europe.
SIBA said that the duty paid on a 330ml bottle of 5% abv beer is almost 13 times higher in the UK than in Germany.
Highlights
Even within the context of these many hurdles, the Independent Beer Report did offer some silver linings.
As highlighted by SIBA CEO Andy Slee, demand for independent beer remains strong, with interest rising among younger female drinkers especially.
There has also been a significant increase in direct sales for breweries as they open more taprooms and web shops. Around 30% of production is now sold direct to consumers.
Finally, routes to market are widening, with more independent breweries selling to pubs, bottle shops and wholesalers.
