Shepherd's hits record but wary of prospects

The UK's oldest brewer sold more than 49 million pints in the 26 weeks to December 26 as pre-tax profits rose 38 per cent to 4.9m.

The strong growth in beer volumes – helped by an award-winning 'Bottle of Britain' advertising campaign for Spitfire – helped push revenues 8 per cent higher to a record 60.8m.

But with a general election looming the company also warned of

uncertain prospects this year.

"We remain cautious about the impact on consumer expenditure of further potential rises in excise duty, VAT and other taxes over the next year or two and by the impact of further potential regulation on the sector," it said.

The company's profits were also helped by cost-saving moves such as an IT overhaul and a new bottling line at its brewery in Faversham, Kent.

Festive trading was on a par with last year despite a "significant" number of last-minute cancellations as pubs in rural areas were hit with snow before Christmas.

The wintry weather continued to disrupt trading in January and February, it added.

The brewer, which was established in 1608, has 369 pubs mainly in the South-East and employs more than 1,000 staff.

The group also makes Master Brew and Canterbury Jack as well as brewing brands including Asahi and Kingfisher under licence.