Rising costs sees Gypsy Hill brewing move its production to Kent.
The brewer has been told its rent is set to increase by double digits again, with a co-founder saying there is no choice but to move.
Last year saw the purchase of Gipsy Hill by Sunrise Alliance Beverages – a move which was aimed at securing the South London brewery’s future as the sector continues to face headwinds.
As part of the move, the business had hoped to be able to continue brewing all of its beers indefinitely in Gipsy Hill signing leases to the end of 2027.
But the rent rises forced a change of plan.
Co-founder Charlie Shaw said: “This month we received the devastating news from our landlord that our next rent increase will be double digits once again.
“Despite all the success we continue to have at Gipsy Hill, including a 19 per cent year-on-year increase in sales of our flagship Hepcat this year, no amount of growth or improved efficiency can offset our escalating overheads.
“We have never and will never make changes that compromise the quality of our beers. Whether that’s slashing tank time or changing recipes. Quality remains the bedrock of our business and our brand.
“We are fortunate that we have the option to move the majority of our brewing to one of our sister sites within Sunrise: Curious brewery in Kent.
“This transition will happen once beers produced there match the same exacting standards they do at Hamilton Road.
"The majority of our production team will be offered roles elsewhere in the company and will be given relocation expenses where necessary.
“The commercial viability of having a large or even midsized brewery with a London postcode has been brought sharply into question in recent times. Those times have caught up with Gipsy Hill.”
