The Emergence of Craft Distilleries

Since the early 2000s, there has been a growth in independently owned distilleries, reports Scott Fraser, sales manager at R&B Distillers – a family owned distillery on the Isle of Raasay. “We’re seeing more options than ever before,” he confirms. “The rise of craft distilleries has diversified the market, and consumers are more knowledgeable. They want to support local producers. Similar to what’s going on in the restaurant industry, many consumers now want to know exactly where the product comes from, how it’s aged, and even where it’s bottled.”

The Rise of Young Whisky

Scott has noticed that more discerning consumers today are focused on quality and provenance. Their demand for transparency and craftsmanship is driving innovation. “Younger drinkers especially are looking for something authentic,” he explains. Drinks brand consultant and whisky educator James Bunting reckons the acceptance of younger whiskies – those aged for fewer years, usually less than ten – is a result of this. “We’re seeing new distilleries producing young whiskies that are just as interesting and characterful as their older counterparts. There’s also been a shift away from over-reliance on casks to provide flavour. Lots of distilleries don’t want to wait 15-plus years for a cask to work its magic.”

Different Regions to Watch

The Scotch whisky industry at large faces renewed – and healthy – competition from places as far away as Japan, which is finally getting the recognition its makers deserve, and Tasmania, which is now producing exceptional whiskies to rival those from more established regions. Within Scotland, the landscape is changing too. Scott points out that all five of Scotland’s traditional whisky regions have seen new distilleries open in the last 20 years. “The industry is challenging itself to create exciting new products, which is great for consumers,” he says. For example, Machrihanish in Campbeltown is the first farm distillery in the region in over 180 years. “Campbeltown is undergoing a renaissance,” says Scott. “With one distillery under construction and a couple more in the works, it's exciting to see how these will develop alongside the established brands like Glen Scotia and Springbank.”

James too has been impressed by Scotland’s response to a bit of overseas competition. “Despite being dominated by 200-year-old distilleries, Scotland is amazingly innovative. The explosion of new distilleries and independent bottlers in the last ten years has contributed to real growth. All of Scotland is producing great whisky but I’m especially excited by the Islands. The Hebrides has some terrific newer distilleries that are working together to build a profile for their style, from the most established like Torabhaig and Raasay to North Uist, which started laying down its first casks to produce whisky just a few months ago.”

Investment Opportunities

Bottle investment is a growing pastime, especially since rare whisky was added to the Knight Frank Luxury Investment Index back in 2018. New online marketplace House of Decant offers rare and hard-to-find bottles, with an average price of £400 a bottle confirming the growing demand for premium whisky among luxury consumers.

Well-established brands have become favourites in the investment world, says Scott. “Whisky has always been collected and traded. Names like Macallan and Springbank have some of the most in-demand bottles on the market. That said, whisky is meant to be enjoyed. So as long as genuine drinkers can still access bottles, there’s room for both drinking and collecting without one monopolising the other.”

James echoes this sentiment: “Whisky is produced to be drunk first and foremost, and if we stop drinking, the value of those bottles drops. Whisky writer Dave Broom likens it to Tinkerbell – we have to keep saying we believe in fairies or the fairies vanish. It’s also worth noting that the market has shifted drastically in the last 18 months to two years. The secondary market has slowed, and it's now a long-term play to invest in whisky. And if you want to invest in a cask, proceed with caution. There are some crooks out there, so it’s best to go to a specialist and talk to an expert."

Good Entry-Level Options

If you’re new to whisky, it’s easy to feel overwhelmed by the sheer variety out there. Scott recommends starting with a bottle like Glenlivet 12. He also suggests experimenting with different flavour profiles to understand the nuances of the spirit. “Trying whiskies like Glenfiddich and Ardbeg will help you appreciate the spectrum of flavours that whisky can offer,” he says. More affordable bottles are a good place to start, confirms James. “There are lots of entry-level bottles to enjoy and it’s worth trying a few. Glenfiddich 12, Bruichladdich Classic Laddie, Talisker 10, Laphroaig 10 – all great whiskies that are very affordable and easy to get hold of.”

New Names To Know

“For single malt, look at Nc'nean,” says James. “They're carbon neutral and are setting the standard globally for sustainability in whisky while also producing world-class bottles. The founder, Annabel Thomas, is a true legend. For independent bottlers, the Thompson Brothers are exceptional. They seem to never miss the mark and every bottle is a knockout. And then Woven Whisky is disrupting the mould for blended whisky – its branding is the best in the game and the whisky inside is always so delicious.”

Great Places To Drink Whisky

The right setting will always enhance your whisky experience. Scott’s favourite bar is The Malt Room in Inverness, while the Fife Arms in Braemar and Sligachan on the Isle of Skye have impressive whisky collections. In London, James suggests heading to Dram Bar. “Outside of London, I’d recommend The Hideout in Bath, Spirited in Bristol, Grain & Glass in Birmingham, The Pot Still in Glasgow, and Bon Accord.” Back on the other side of Hadrian’s Wall, “Dornoch Castle Hotel opposite the impressive Dornoch Cathedral has a world-class bar that any whisky lover would adore. But there are more and more great whisky bars opening all the time, so it’s always worth keeping an eye out.”