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Cost of £6 pint has been broken down to reveal how much is actually profit

Home> News> UK News

Published 17:41 4 Apr 2024 GMT+1

Cost of £6 pint has been broken down to reveal how much is actually profit

When you fork over a fortune for a pint where is your money actually going?

Joe Harker

Joe Harker

Alright, hold your horses for a second, fortunately the average price of a pint hasn't yet climbed to a whopping six of your fine British pounds quite yet.

That's the good news, as according to the Office for National Statistics, the current average price is £4.70.

Then again, they say that a decade ago the average price was £3.37 so we're definitely on an upwards trajectory, not to mention the fact that in some pubs you already won't see change out of £6 in exchange for a pint.

But where does that money you're handing over at the bar actually end up going?

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According to Sky News, who popped down to the Duke of Greenwich in London, if you bought a pint of lager from them it'd cost you £6 - but only 83p of that would be profit for the pub.

Where does your money go when you pay for a pint?
Klaus Vedfelt/Getty Images

First off, £1.63 of that cost will be going on buying the pint of lager from the wholesaler in the first place, while another 28p will be going on a five percent wastage fee to account for amounts that are spilled or overfilled.

Another £1.76 will be spent on paying the wages of the staff who are pouring your pints, while you're spending a further £1.39 towards the rent and utilities of the pub to guarantee that your establishment of choice can actually afford to exist.

A final 11p is chucked onto the pile to pay for the prices of beer gas, which you'd miss if it was gone.

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Since the pub itself is only taking 83p out of every pint in profit if the Duke of Greenwich pulled prices down to the current national average it'd actually be losing money on each and every pint pulled.

If you were wondering why drinks are more expensive in the pub compared to buying from the supermarket this is the reason.

About 90 percent of drinks sold over the bar are beer, so if those aren't making a profit then it's not going to be a viable business.

That's £30 worth of liquid gold right there.
Getty Stock Photo

Last year, LADbible spoke to Camilla Weddell from the Campaign for Real Ale (CAMRA) who explained that supermarkets were better able to absorb the costs of drinks.

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She said: "You do see the difference between a beer you can buy in the supermarket and you can buy the same beer in a pub and it is a lot more.

"That’s where you start to get all these other costs coming in, things like business rates, like council tax but for businesses, where pubs pay a massively disproportionate amount.

"Nine out of 10 drinks sold in a pub are beer, it's not like a supermarket where they can sell it as a loss leader, it's not what’s actually making their profit."

It's a sobering thought.

Featured Image Credit: Getty Stock Images

Topics: UK News, Cost of Living, Money, Pubs, Food And Drink

Joe Harker
Joe Harker

Joe graduated from the University of Salford with a degree in Journalism and worked for Reach before joining the LADbible Group. When not writing he enjoys the nerdier things in life like painting wargaming miniatures and chatting with other nerds on the internet. He's also spent a few years coaching fencing. Contact him via [email protected]

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@MrJoeHarker

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