UK beers sales see biggest boost this century

Beer sales in Britain saw the biggest quarter-on-quarter increase this century, rising 5.2% in Q3.

That's the findings of the British Beer & Pub Association's (BBPA's) latest Beer Barometer, published today.

The boost to beer sales came as the UK enjoyed a summer of fine weather and also followed Chancellor George Osborne's popular Beer Tax cut in the March Budget, said the BBPA.

But the on-trade on its own didn't fare so well, with beer sales at pubs, bars and restaurants falling by 1.2% on the same period last year. Despite this, the BBPA said it was still the most favourable on-trade third quarter since 2003.

In contrast, the off-trade enjoyed a major spike, with a 12.5% rise in sales, that was also the best Q3 performance for beer in a decade.

Chief executive Brigid Simmons (pictured) commented: "After many years of disappointing figures it's great to see a great British product reporting such a strong third quarter performance.

"There is a still a way to go, but with increased investment and a fairer tax regime, we can build for future success. With the Beer Duty escalator cancelled by George Osborne, and tax revenues up, there is a real opportunity, if we have another freeze next year."

The rise in beer sales has also resulted in the government collecting £16m more in beer taxes (duty and VAT) in the past quarter despite the 2% cut in Beer Duty. The BBPA said it believes that the tax cut represents a big milestone for the industry, with renewed confidence boosting investment.