The process of amalgamation was kicked off by Canadian Eddie Taylor, who had already built a national brewing group in his homeland. Using Yorkshire brewer Hammonds at its core, he embarked on a buying frenzy across the North of England and Scotland.
By the late 1960s, seven brewing groups dominated the industry: Allied Breweries, Bass Charrington, Courage, Watney Mann, Whitbread, Scottish & Newcastle and Guinness. They were usually referred to as the Big Six, Guinness being left out because it owned no pubs.
No. of UK breweries | |
Year | No. |
1945 | 708 |
1946 | 680 |
1947 | 648 |
1948 | 625 |
1949 | 602 |
1950 | 567 |
1951 | 539 |
1952 | 524 |
1953 | 501 |
1954 | 479 |
1955 | 460 |
1956 | 426 |
1957 | 416 |
1958 | 399 |
1959 | 378 |
1960 | 358 |
1964 | 295 |
1965 | 274 |
Sources: | |
Brewers' Almanack 1955, p.68 | |
Brewers' Almanack 1962, p.67 | |
BBPA Statistical Handbook 2003, p. 92 |
Amalgamation was often a complex affair. Bass Charrington was formed by the merger of Charrington United Breweries and Bass, Mitchells & Butlers. The former itself the result of a merger between Hammonds United Breweries and Charrington. The latter, created when Bass and M & B merged. Hammonds United Breweries was itself the result of a series of takeovers.
Between them, the Big Six controlled over half the UK’s pubs. As most beer was consumed in pubs and those pubs could only sell beer from the brewery that owned them, that gave the big brewers a stranglehold on the beer trade.
Ironically, this hold started to be broken in the 1980s when supermarkets started to shift large quantities of beer. It’s ironic because the big brewers dumped beer at ridiculously low prices to the supermarkets to gain market share. All the really did was devalue their pubs as assets.
The Big Seven 1963 - 1967 | |||||||
1963 | 1967 | ||||||
Company | Tied estate | Nominal capital | Market value | Company | Tied estate | Nominal capital | Market value |
£m | £m | £m | £m | ||||
Allied | 9,300 | 90.4 | 177.3 | Bass Charr | 10,230 | 80.7 | 243.2 |
Watney Mann | 5,500 | 43.8 | 103.5 | Allied | 8,250 | 128.1 | 234.7 |
Charr Utd | 5,000 | 43.1 | 92.7 | Whitbread | 7,376 | 104.8 | 127.8 |
CB&S | 4,800 | 45.3 | 76.3 | Watney Mann | 6,667 | 84.8 | 144.7 |
BM&B | 4,100 | 33 | 96 | CB&S | 4,418 | 57.1 | 94.4 |
Whitbread | 3,500 | 40.6 | 95.2 | S&N | 2,076 | 64.8 | 127 |
S&N | 1,700 | 44.9 | 92.1 | Guinness | 2 | 26.5 | 102.2 |
Guinness | 2 | 19.5 | 94 | ||||
Total | 33,902 | 39,019 | |||||
Total pubs | 67,450 | 66,373 | |||||
* Guinness's tied estate = Castle Inn, Bodiam and Guinness Club House, Park Royal. | |||||||
Key: | |||||||
BM&B Bass, Mitchells & Butlers | |||||||
Bass Charr Bass Charrington | |||||||
CB&S Courage, Barclay & Simonds | |||||||
Charr Utd Charrington United | |||||||
S&N Scottish & Newcastle | |||||||
Source: | |||||||
The British Brewing Industry 1830 - 1980 by T.R. Gourvish and R.G. Wilson, 1994, page 472. |
There was also consolidation on a regional level, where breweries like Greene King, Greenall Whitley and Marstons bought up rivals for their pubs and closed their breweries.
At a much smaller level, most of the remaining home brew pubs closed between 1945 and 1965. There had still been around 2,500 publican brewers at the outbreak of WW I, but large numbers gave up in the interwar period. By 1965 they were just a handful.
This is an excerptfrom from my overly detailed look at post-war UK brewing, Austerity!
http://www.lulu.com/content/paperback-book/austerity/23181344
Funny you mention it began in the 1950’s here in Ireland we have the big two Diageo Ireland formerly Guinness Ireland and Heineken Ireland between the early 19th century and the early 1960’s the number of of independent breweries dropped from 200 to only three before two after Beamish was bought in 1962.
ReplyDeleteBoth Beamish and Murphy's had tied houses in Cork until Guinness forced them to sell ending their success.
Oscar