Shepherd Neame 'committed to cask' despite declining sales

08-Oct-2024 - Last updated on 08-Oct-2024 at 14:43 GMT

Continuing to invest: Shepherd Neame asserts its dedication to cask

Britain’s oldest brewer has assured it is “completely committed” to brewing cask ale despite a decline in sales.

In its latest trading update, released earlier this week, Shepherd Neame revealed it had seen a decline in cask sales over the past 12 months, noting a “shift” in consumer desire away from cask towards keg beers.

Following the update, The Telegraph published an article stating the firm had decided to shift its focus away from cask beers in favour of keg products, sparking backlash from The Campaign for Real Ale (CAMRA).

However, the Kent-based operator and brewer, which was founded in 1698, assured it was “completely committed” to continue brewing cask beer.

Diverse range

Shepherd Neame chief executive Jonathan Neame said: “At present, Shepherd Neame is seeing growth in keg beer and a decline in cask beer and bottled beer, driven by the market, but we remain completely committed to cask ale and see no reason why the category will not recover again.

“We brew a diverse range of award-winning cask ales, and in the past year have won multiple awards for our beers, including two ‘World’s Best’ honours in the World Beer Awards 2024.”

“We also continue to invest in our popular Cask Club programme, which sees new beers incorporating modern styles and flavours released through the year, along with seasonal classics, and is aimed at encouraging new drinkers to enjoy cask ale.”

The brewer and operator, which runs 291 pubs, saw total revenue grow from £166.3m to £172.3m for the 53 weeks ended 29 June 2024, according to the trading update.

Very challenging

Though Neame added the regulations faced by Britain’s brewing and pub sector made life “very challenging”.

He continued: “Notwithstanding the above, the taxation and regulation facing British brewers and pub companies currently make life very challenging for all in our sector, and we hope the Government is listening to the calls for an urgent review.”

It comes as recent research from The British Beer & Pub Association (BBPA) found pubs make just 12p on a pint of beer after costs and taxed have been deducted.

Moreover, earlier this month, CAMRA highlighted a “worrying trend” in the struggles faced by breweries, forcing many to shut for good.