The Hidden Crisis Behind the Bar: Why the UK’s CO₂ Supply is on a Knife Edge

When you pour a pint, pop a prosecco, or pull the tap on a fizzy mixer, there’s an invisible ingredient behind it all: carbon dioxide. It’s what gives beer its head, soft drinks their sparkle, and keeps packaged food fresh. But the UK’s supply of food-grade CO₂ is facing a quiet yet critical crisis - and if it collapses, bars and restaurants will be among the first to feel the shock.

A Narrow Pipeline: Where the UK Gets Its CO₂

The UK doesn’t have a broad network of CO₂ producers. In fact, we rely heavily on a small handful of large-scale fertiliser and bioethanol plants. Historically, around 60% of the UK’s food-grade CO₂ came from just two sites run by CF Fertilisers: one in Ince, Cheshire, and one in Billingham, Teesside. But the Ince plant closed in 2022, and production at Billingham is no longer guaranteed.

That leaves just a few key players in the game, such as Ensus and Vivergo, both bioethanol producers based in the North of England. Together, they can supply up to 30% of the UK’s CO₂ needs - but even they are facing major pressure from energy prices and international competition.

Why This is a Big Deal for Bars

CO₂ is central to hospitality. Without it:

• Draught beer and cider can’t be poured.

• Soft drinks lose their fizz.

• Premix cocktails become flat.

• Packaged food delivered to bars and restaurants can spoil faster.

The British Beer & Pub Association has warned that a shortage of CO₂ could lead to widespread outages across pubs, particularly those that rely on kegged and carbonated lines.

Three Pressure Points Pushing the System to the Brink

1. Energy Prices Fertiliser and bioethanol plants are hugely energy intensive. Since 2021, natural gas prices in the UK have surged, at times doubling or tripling running costs. This makes it financially unviable for some producers to keep running.

2. Foreign Competition UK bioethanol producers like Ensus are now competing with cheaper US imports following tariff changes. Ensus recently warned that it could shut down production in 2025 unless the government intervenes. If that happens, the UK would lose another 30% of its domestic CO₂ supply.

3. Lack of Redundancy With so few producers, any maintenance shutdown or unexpected closure can create immediate nationwide ripples. There’s no buffer. And unlike other commodities, CO₂ can’t just be stored in bulk for months on end.

   
   

How Close Have We Come Already?

We’ve seen warning signs:

• In 2018, a Europe-wide CO₂ shortage hit the UK hard. Pubs ran out of kegs, Wetherspoons couldn’t pour pints, and Coca-Cola had to halt some production lines.

• In 2021 and 2022, CF Fertilisers paused operations due to energy costs. The UK government had to step in with emergency subsidies to keep supply going.

• In 2025, Ensus issued a direct warning that without support, they may shut down within weeks.

Each time, supply chains scrambled to adapt. But next time, there may be no quick fix.

Why Bars and Restaurants Should Act Now

If you run a venue, the risk is clear. A sudden CO₂ shortage could force you to:

• Pull draught beer from the menu

• Switch to bottled or canned products at higher cost

• Waste perishable food without MAP packaging

• Face reputational damage with customers

That means contingency planning isn’t optional - it’s essential.

What Can Be Done?

1. Secure Diverse Suppliers Don’t rely on a single gas supplier. Build relationships with multiple distributors and ask about their contingency reserves.

2. Pressure Policymakers Trade bodies like the BBPA and UKHospitality are lobbying for government support for CO₂ producers. Join the conversation. Your voice adds weight.

3. Reduce Dependence Where Possible Can you offer more bottled or non-carbonated drinks? Invest in nitrogen systems? Review your packaging needs with suppliers? Even partial shifts can buy you time in a shortage.

4. Stay Informed The CO₂ situation can change rapidly. Follow updates from DEFRA, BEIS, and major trade publications. Be the first to know, not the last to react.

   
   

The Bigger Picture

This isn’t just a hospitality issue. CO₂ touches everything from slaughterhouses to hospitals to nuclear power plants. But bars and restaurants are on the frontline of visibility - if the fizz disappears, customers notice instantly.

The government has stepped in before. But as support is phased out and markets shift, the cracks are widening. We’re now closer than ever to a supply shock without a safety net.

Final Pour

The next time you open a bottle of sparkling wine or pull a crisp pint, take a moment. The fizz isn’t just a feature - it’s the result of a delicate industrial chain that’s more fragile than most realise.

For the UK drinks industry, the CO₂ story isn’t over. But without urgent attention, it may soon go flat.

Stay updated with industry news, insights and exclusive features at www.drinkedition.co.uk.