Pint of beer to cost £4
Wednesday, 20 February 2008 12:00
A pint of beer could soon cost £4 as food and energy prices rise, the brewing industry has warned.
The British Beer and Pub Association is warning the rising costs of malted barley, hops and energy have combined to force brewers to push up the prices of a pint.
The body is warning with the average price of beer now standing at £3.20 in some parts of London it would not be long before the £4 pint becomes commonplace.
The brewing industry is now pushing the chancellor of the exchequer to cut the 73p a pint tax on beer to help the industry in the Budget next month.
It is predicted the high beer prices will push drinkers to the supermarkets and away from pubs, which are already losing out as a result of the smoking ban.
Currently beer sales for pubs are at the lowest level since the depression of the 1930s.
"Duty increases reinforce the trend for drinking at home. Pubs cannot absorb cost increases like the big supermarkets leading them to close at a rate of more than six every week since 2000," said a British Beer and Pub Association spokesperson.
"The closure rate is accelerating and unless circumstances change a further 2000 may close over the next two years."
Domino's Pizza has also warned of pizza price rises, as the price of wheat makes dough dearer and mozzarella cheese prices are up.
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