Britain’s beer and pub industry generated £37.8 billion for the UK economy in 2025, supported almost a million jobs and contributed £16.8 billion in tax, new British Beer and Pub Association (BBPA) and Oxford Economics analysis has found.
The trade body said the findings demonstrate the sector’s economic footprint can be found in every constituency, with all regions generating, on average, £3.2 billion in gross value added (GVA) and supporting, on average, 81,800 jobs.
The sector also generated an estimated £2.2 billion in net capital investment in 2025, with the North West recording the highest regional investment at £325 million.
The BBPA said the sector has proved itself to be fundamentally important for younger workers or those seeking flexible work. Approximately half (48 per cent) of direct jobs are made up of workers between the ages of 16-24 – the equivalent of 341,900 roles – while 60 per cent of workers were employed part-time.
The BBPA says the sector’s tax burden must be reduced if it is to continue driving growth and jobs. It is calling for permanent business rates reform, a freeze in beer duty, an increased draught duty discount and a review of employment costs to help protect jobs and ensure businesses can continue investing.
BBPA chief executive Emma McClarkin (pictured) said: “This analysis shows why we’re the lynchpin for jobs, growth, and communities in every constituency.
“Every single region’s job market and local economy is enriched from pints and pubs with them being vital for putting money in people’s pockets, being precious community spaces, and boosting investment whilst generating significant tax revenues.
“It would be a perilous mistake to take this for granted, because when they close, we all lose out. We are fortunate that the prime minister and chancellor recognise this and are strong supporters of the sector, as demonstrated by the vital 20 per cent cut in business rates recently announced as a first step to support the sector.
"We now need to see permanent business rates reform, a freeze in beer duty and an increased draught discount, along with a review of employment costs to ensure we can continue to keep people in work, boost the economy, and remain as the heart and soul of communities.”
The report found that pubs alone generated £29.8 bilion in GVA, supporting 849,600 jobs and £17.4 billion in wages.
The UK’s breweries generated £6.7 billion in GVA and supported 74,100 jobs, while beer sales in the off-trade contributed £2.3 billion in GVA and supported 48,100 jobs.
Latest research from WPI Strategy, authored by former Treasury economist Martin Beck, found the pub plays a central role in creating huge wellbeing benefits for the nation.
The report found pub-based social interaction is estimated to generate a wellbeing value of around £1,000-£2,000 per regular pubgoer each year.
With nearly 30 per cent of UK adults visiting pubs regularly (around 16 million people), the total wellbeing-equivalent value is estimated at up to £30 billion annually, which the BBPA argues is further proof of the intrinsic, unique and important role the sector plays.
