York Brewery has gone into administration along with the four pubs it operates, although it will continue to trade while administrators at Duff & Phelps seek a buyer.
There have been no redundancies among the workforce of 49 employees.
Established in 1996 within the historic city walls, York Brewery is both a working brewery and a major tourist attraction serving the first traditionally brewed ales from within the walls of York for over 40 years.
The administrators said the firm has faced cashflow pressures amid difficult trading conditions which have hit the whole leisure industry.
Rachael Maskel, the MP for York Central, said it would be a “travesty” if the administrators can’t find a buyer.
“It is a great shame to hear this,” she said.
“Local pubs have faced real hardship recently and I hope the administrator can find a buyer. They are a real hub of the community and it would be a travesty to lose the brewery and three pubs in the city.”
Steven Muncaster and Sarah Bell of Duff & Phelps have been appointed joint administrators of York Brewery Co. Limited.
In addition to the brewery, the firm operates four public houses; The Last Drop Inn, Mr Foley’s Tap House, The Three Legged Mare, The Yorkshire Terrier and a brewery tap room.
Mr Muncaster, managing director of Duff & Phelps, said: “While York Brewery is a popular destination for both locals and tourists, the company has unfortunately continued to face cashflow pressures as a result of difficult conditions which are affecting the leisure industry and pubs across the country.
“We are seeking a buyer and we encourage any interested parties to come forward as soon as possible.”
York Brewery said that it produces fine, handcrafted real ales to the highest possible standards.
“Our ales are enjoyed in pubs all over the UK, but are particularly pleased that so many local drinkers choose our products, and we’re proud to have won numerous local and national awards over the years,” the firm said.
Located just inside the city walls on Toft Green, York Brewery is close to the historic royal entrance to the city Micklegate Bar.
The launch of the brewery in 1996 marked a return to brewing inside the city walls of York after a 40-year absence.
The brewery site was built in the late 16th century.