Securing the Future of Scottish Brewing and Distilling

The alcohol sector makes a major contribution to the Scottish economy, amounting to around £8.1 billion GVA/year and accounting for almost a quarter of Scottish exports. Underpinning this contribution is generations of expertise.

An important source of this expertise is the International Centre for Brewing and Distilling (ICBD). Heriot-Watt University founded the ICBD in 1989. Today it is the only institution in the UK that offers undergraduate and postgraduate degrees in both brewing and distilling.

Earlier this year, Heriot-Watt University commissioned BiGGAR Economics to assess the ICBD’s current economic impact and future potential.

A Pipeline for Talent and Innovation

Our analysis showed that the ICBD has played a major role in providing a steady stream of talent for the industry for nearly 40 years. We estimated that by 2024/25 there could have been more than 600 ICBD graduates working in the Scottish brewing and distilling sector. That is equivalent to around 5% of the sector’s workforce.

Our research also identified nearly 30 active Scottish brewing and distilling businesses founded or owned by ICBD graduates. We estimated these businesses could be contributing nearly £80 million GVA/year to the Scottish economy.

Altogether, we estimated that the ICBD underpinned up to £240 million of the value the brewing and distilling sector added to the Scottish economy in 2024/25. We also estimated that this activity supported around 1,180 jobs. That is a substantial impact for an organisation that employed just seven staff!

The Centre for Advanced Brewing and Distilling

However, current facilities and equipment are no longer fit for purpose. Without capital investment, the centre will eventually lose its capacity to support the sector.

To address these challenges, Heriot-Watt University has developed proposals for a new facility. The Centre for Advanced Brewing and Distilling (CABD) will provide plug-and-play brewing and distilling equipment to enable businesses to trial new production methods, advanced research labs to develop low-carbon distillation techniques, and a dedicated entrepreneurial hub to support enterprise formation and growth.

The new facility is expected to unlock a significant uplift in commercially funded research activity and new enterprise creation. If realised, the facility could support an additional £53.4 million GVA per year and 260 jobs within ten years.

The new facility is expected to cost around £35 million, with industry providing nearly three-quarters of the funding. This implies that over a 10-year period, every £1 invested in the project could underpin economic activity worth £20.80.


You can read our full report on the CABD here

For further information about our work on research infrastructure or the Scottish alcohol industry please contact us at info@biggareconomics.co.uk