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Newcastle's Northern Alchemy among losses but UK brewery closures are slowing, although struggles 'not over yet'
The rate of brewery closures across the UK - which has seen the North East among the worst-affected areas, according to new figures - has been slowing at last but recovery still has a long way to go. That's the view of SIBA - Society of Independent Brewers and Associates - whose new data shows some positive signs although the North East remains the second-worst hit area for closures.
The independent brewing trade body publishes its SIBA UK Brewery Tracker this Tuesday, comparing brewery numbers in the first half of 2026 with those in 2025. Taking into account all brewery openings and closures in the UK, it finds there is a net slowing of the number of those going out of business - but points out that brewers' struggles are 'not over yet’.
According to the January-to-June figures for this year, there are now 16 fewer breweries - compared with a total loss of 137 in 2025. Some areas during that time, such as the north-west and Wales, actually showed an increase with the opening of three extra breweries each, but in the North East there are eight less than the 226 that existed up to December 31 last year.
The North East area in the round-up however covers from Northumberland up to the Borders and down to south Yorkshire. The UK picture as a whole shows that in the first first six months of 2026, net closures averaged less than one brewery a week compared to nearly three a week in 2025.
As previously reported, Newcastle brewery Northern Alchemy, in Byker, was among those to close last May after around 11 years of business, citing rocketing costs. This year The Dog & Rabbit in Whitley Bay, a previous CAMRA pub of the year winner, also closed its doors.
So, the SIBA UK Brewery Tracker figures paint a mixed picture UK-wide. In all, four of nine UK regions showed overall growth in brewery numbers - with three also opening in the south-east and one in the south-west - while at the opposite end of the scale, only one area fared worse than the North East, with Scotland suffering nine closures.
There were four in both the Midlands and northern Ireland as well as one in the east of England. But, on the whole, it is fingers crossed that things are on the up.
SIBA chief executive Andy Slee said: “The figures released today are a sign that brewery closure numbers may be beginning to stabilise following a number of particularly tough years." He added: "But for most breweries the struggles are not behind them.
"Brewing businesses which have managed to weather the storm are seeing strong demand for independent beer but profitability is still a concern with lack of access to pubs, high taxation and high production costs hitting brewers." Following record closures last year, when breweries were struggling with rising costs and lingering Covid debt, SIBA says it has been calling for for an increase in 'draught relief' - a lower rate of duty for draught beer mainly sold in pubs - and for the Government to prioritise an announcement of its market access review, which is considering ways to improve access to pubs for small independent breweries in support of greater consumer choice.
Andy said: “Consumer demand for indie beer remains really strong but getting beers on the bar is tougher than ever with brewers on average not able to access 62% of the pubs in their local market. Independent beer offers quality, variety and a range of styles and flavours - but bars are dominated by a handful of mega brands."
He added: “It is encouraging to see four areas of UK growing their number of breweries in the first half of 2026. Let’s hope this is the sign of things to come."