Chapel Down Hits 1 Million Bottles As English Wine Eyes 1% Of Global Champagne Market
Britain's biggest winemaker is getting a record deal as chief executive James Pennefather sticks to his goal of capturing 1 percent of the global champagne market by 2035.
Chapel Down, Britain's largest wine producer, has sold more than a million bottles of English sparkling wine in one year for the first time, a critical milestone in its bid to capture 1% of the global champagne market by 2035.
The Kent-based producer, which is listed on London's small Aim market and is backed by billionaire Lord Spencer of Alresford, said the move of one million bottles equates to about 0.4 percent of the champagne's global market share. James Pennefather, who took over as CEO last year, expects that number to rise to 0.7 percent by the end of the decade.
Pennefather said the company's long-term ambition was to focus on a location across its native Kent. “Of course we have options to get there quickly, but it also depends a little on what happens in the wider champagne market,” he said.
Although champagne has historically been reserved for official celebrations, Pennefather argued that English sparkling wine was redraw- ing class boundaries. “The real strength of Chapel Down and English sparkling wine is that we increase the number of times people drink premium wine,” he said. “That gives us confidence that we are also growing the division as a whole.”
The company farms over 1,000 hectares of vineyards in the south east of England, producing still and sparkling wines. Its growing brand profile has been strengthened by partnerships with Ascot, The Boat Race and the England and Wales Cricket Board.
Results for the year ending 31 December 2025 highlighted the appetite for domestic fizz. Group revenue rose 19 per cent to £19.4 million, driven mainly by a 38 per cent increase in sales of goods outside supermarkets to £9.4 million after a five per cent rise in inventory.
Turnover, which flows through pubs, bars and restaurants, rose 5 per cent to £2.6 million, helped by new account wins. International revenue jumped 49 per cent to £1 million, boosted by the firm's tie-up with Jackson Family Wines in the United States and a higher profile at British airports and St Pancras International station.
The performance brought Chapel back into the dark, with a pre-tax profit of £469,000 compared with a loss of £1.4 million the previous year. Encouraged by a strong start to 2026, the board also confirmed a net sales guidance of £22.1 million, in line with City's consensus.
Pennefather acknowledged that the Iran conflict was an area to watch for the business, although the Middle East accounted for only a “small” portion of its revenue. “We haven't seen an immediate impact yet,” he said, “but continued increases in fuel costs could impact profitability.”
Elsewhere, investors raised a glass to Carlsberg after the Danish brewer posted its first quarterly volume for the year, helped by its push into soft drinks. The world's third-largest producer, which counts Kronenbourg, Skol and Somersby ciders among its stable, reported a 2.8 percent rise in total organic volume in the first quarter, with growth across all regions. Soft drinks volumes jumped 10 per cent, driven partly by its £3.3 billion Britvic takeover, while beer volumes rose 0.4 per cent more.
