Independent breweries are suffering increased insolvencies at the hands of cost inflation and reduced consumer spending.
Following the collapses of two prominent North East breweries, research from accountancy firm Price Bailey indicates the number of industry insolvencies tripled in 2022. The firm found 38 breweries went bust in 2022, compared with only nine the previous year, making 2022 the highest yearly total on record.
This year has already seen the collapse of Tyne Bank Brewery in Newcastle and Black Storm Brewery in North Shields. Covid-related difficulties - including challenges recruiting staff and a failure of trade to return to pre-pandemic levels following the lifting of restrictions - were cited by administrators of Tyne Bank who were appointed to the firm in November last year, before it was sold to new owners.
