Key facts
- Shepherd Neame, Britain's oldest family-run brewery, is reviewing its future.
- Soaring costs and sliding sales are pressuring Shepherd Neame.
- Redemption Brewing Company, a 100-year-old brewery, has entered administration.
- FRP Advisory has taken control of Redemption Brewing Company and is seeking a buyer.
- Redemption Brewing Company's total deficit increased to £705,111.
- Approximately three breweries are closing each week in Britain.
Shepherd Neame, the family-run company behind Britain's oldest brewery, is considering its future as it grapples with escalating costs and declining sales.
The broader brewing industry is facing significant pressure, exemplified by the administration of Redemption Brewing Company, a 100-year-old Tottenham-based brewery. FRP Advisory has taken control of Redemption and is actively seeking a buyer, with operations continuing during the process. Redemption's financial difficulties stem from a sustained period of financial strain, exacerbated by rising duty rates and a challenging cost environment that disproportionately affects independent brewers compared to larger competitors.
Filings show Redemption's total deficit grew from £632,151 in 2023 to £705,111 the following year, with a net loss of £72,960 recorded. The administration followed a winding-up petition lodged by HM Revenue and Customs (HMRC) in January. The Society of Independent Brewers and Associates has described the situation as a "survival crisis," with approximately three breweries shutting down each week. Small brewers contend with multiple tax burdens, including alcohol duty, VAT, national insurance, business rates, and corporation tax, alongside escalating manufacturing expenses and substantial tax increases affecting pubs.