British Brewers In Limbo Due To Brexit

Brexit has been a mess over in the UK…A mess that’s left many British brewers unable to plan for their near future.

Here’s the deal…

The British beer industry is “on hold” and unable to plan adequately for its post-Brexit future.

The country is now set to leave the European Union on October 31, but with “how they leave” undecided, brewers, like many other UK Industries, don’t know what to expect.

Many predict that a ‘hard exit’ without some sort of an arrangement with the EU could be a disaster, but that could potentially happen…

“Everyone in the industry is concerned about the potential impacts of leaving the EU — and it’s unclear what they are,” Tom Stainer, chief executive of Campaign for Real Ale (CAMRA), told AFP

But Stainer, who heads the 190,000-member organization which was established to advocate for traditional British beer and pub culture, thinks that steps can be taken help ease the transition…

“The brewing industry relies on imported hops and malts, and on exports. CAMRA is urging the government to mitigate any potential impacts as much as possible. They can remove potential shocks by giving stability: reducing beer tax and sorting out business rates.”

Stainer also emphasizes the importance of lowering the beer tax in pubs, which are closing at a rate 14 per week, however Britain exits he European Union…

“Reducing the rate of duty for beer served in bars would be a really good way to support British pubs. We’ve always been told by the government that we can’t do this because of the rules that govern all EU member states.”

The Society of Independent Brewers (SIBA) which represents Britain’s approximately 830 independent craft breweries, has already published an eight-point guide for its members to follow in case there’s a no-deal Brexit at the end of October.

Around a fifth of SIBA’s members export and are particularly vulnerable to the potential fallout that might result from a ‘hard-exit’ Brexit.

SIBA’s advice points to further costly and time-consuming bureaucratic complications. Things like registering in the EU, finding export agents, changing bottle labels and  working out what support EU staff they may need.

But with Britain’s Brexit exit still undecided, maybe the best advice is for brewers to “run for cover.”