Britain’s beer and pub industry worth nearly £40billion to UK economy

Britain’s beer and pub industry generated £37.8 billion to the UK economy last year, supported nearly 1 million jobs and also contributed £16.8 billion in tax, new findings show.

The analysis from British Beer and Pub Association demonstrated the sector is a “lynchpin for jobs, growth, and communities”, they said.

The trade body added the findings demonstrate the sector’s economic footprint can be found in every constituency, with every region generating, on average, £3.2 billion in Gross Value Added (GVA) and supporting, on average, of 81,800 jobs.

The sector also generated an estimated £2.2 billion in net capital investment in 2025, with the North-West recording the highest regional investment at £325 million the analysis, by Oxford Economics and commissioned by the BBPA, found.

The BBPA said the sector has proved itself to be fundamentally important for younger workers or those seeking flexible work. Approximately half (48%) of direct jobs are made up of workers between the ages of 16-24 – the equivalent of 341,900 roles – while 60% of workers were employed part-time.

It said the sector’s tax burden must be reduced if it is to continue driving growth and jobs. It is calling for permanent business rates reform, a freeze in beer duty, an increased draught duty discount and a review of employment costs to help protect jobs and ensure businesses can continue investing.

Emma McClarkin, CEO of the British Beer and Pub Association, said: “This analysis shows why we’re the lynchpin for jobs, growth, and communities in every constituency.

“Every single region’s job market and local economy is enriched from pints and pubs, with them being vital for putting money in people’s pockets, being precious community spaces, and boosting investment whilst generating significant tax revenues.

“It would be a perilous mistake to take this for granted, because when they close, we all lose out. We are fortunate that the Prime Minister and Chancellor recognise this and are strong supporters of the sector, as demonstrated by the vital 20% cut in business rates recently announced as a first step to support the sector.

“We now need to see permanent business rates reform, a freeze in beer duty and an increased draught discount, along with a review of employment costs to ensure we can continue to keep people in work, boost the economy, and remain as the heart and soul of communities.”

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