A Brexit, a bar exit: A pint is now more expensive in the UK, and the US could be next

FILE - In this Dec. 11, 2013 file photo, a row of beer taps stand ready to serve at Hop City Craft Beer and Wine in Birmingham, Ala. A new law will loosen Alabama’s alcohol laws to let craft breweries sell to-go beer directly to consumers. Alabama’s 25 or so brewers have been selling beer in retail stores for several years. But they could only sell draft beer by the glass to customers who visited a brewery. (AP Photo/Dave Martin)

The impact of Brexit is even reaching into the UK’s trademark pubs and clubs, as the pound sterling continues to fall in value after the nation voted to leave the European Union.

Beer makers Heineken and Carlsberg have joined MolsonCoors and Anheuser-Busch InBev in raising prices. The Guardian writes that Carslberg will raise prices by 2.6 percent on average. Heineken will raise prices by 6 pence per pint.

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The cost increases come at a time when makers and manufacturers are raising prices to cover the new costs of doing business inside the United Kingdom. Toy makers have warned of 15 percent price increases, and food prices on some products have risen 5 percent since the vote. Beer makers have had to contend with higher import prices for fuel, higher prices for imported goods and the new cost of a living wage, which also passed last year.

A source inside one of the major brewers tells the Guardian that the full force of price effects aren’t known yet, and said 10 to 15 percent increases could be realistic. As the United Kingdom renegotiates individual trade agreements (having previously traded through the EU), volatility and uncertainty in the markets is causing price fluctuations.

Like the UK, Donald Trump has led the United States to also withdraw from major trade agreements and pursue protectionist policies, including strict taxes and tariffs, which could cause similar volatility and pass on higher domestic and imported goods prices to Americans.

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