Guinness price hikes are adding pressure on rural pubs

The Vintners' Federation of Ireland says Diageo will raise list prices on draught products, with a pint of Guinness up 7c and Guinness 0.0 up 10c from February 2, and that repeated supplier increases are adding pressure on rural pubs.

Publicans and the Vintners' Federation of Ireland have criticised a rise in the price of Guinness and other draught beers produced by Diageo. The company says it will increase list prices on its full draught range, with a pint of Guinness reported to rise by 7c and Guinness 0.0 by 10c from February 2. The VFI warned the move will place further pressure on pubs already facing higher operating costs. The federation cited rising labour costs, high energy prices and declining footfall as factors eroding margins. Key details: - Diageo has advised on-trade customers of an increase to list prices for its full draught product range; the article reports specific increases of 7c for Guinness and 10c for Guinness 0.0, effective February 2. - The Vintners' Federation of Ireland said drink costs are the single biggest cost for publicans and that repeated supplier increases are contributing to rural pub closures alongside falling footfall and rising operating costs. - Diageo said industry-wide cost pressures remain elevated and that the price changes are part of maintaining sustainable operations in Ireland. Summary: The Vintners' Federation of Ireland reported that repeated supplier price increases are contributing to the financial pressure on rural and community pubs. Diageo has announced a list price rise for draught products, with the reported increases taking effect on February 2. Undetermined at this time.