Islay distillery to ramp up production thanks to £22.5 million funding package

A distillery on the island of Islay is looking to ramp up production after toasting a £22.5 million funding package.

Kilchoman Distillery has agreed the financial deal with Barclays, allowing it to invest in new production facilities and further grow the brand globally.

The distillery aims to produce 40 per cent more whisky within the next 12 months and the owners have already started work on a new warehouse and extra staff have been hired to cope with demand. It is already a major employer on the island, with 40 people now working for the business.

The brand is already established as a premium spirit in 50 countries, with the biggest markets being in France, Germany, the US and China. The latest investment will allow Kilchoman to increase its presence in these big four markets.

Kilchoman Distillery aims to produce 40 per cent more whisky within the next 12 months. Picture: Ben Shakespeare Photography

Andy Hall, head of Barclays Corporate Banking, central Scotland, said: “Despite the challenging economic conditions, the production of our national drink remains an expanding industry and we are pleased that Kilchoman is now one of several independent distilleries in Scotland where we are supporting their ambitions for growth in Scotland and beyond.

“Whisky remains a growing market and there is still a huge appetite for single malts, with many people still prepared to pay premium prices.”

Kilchoman is one of nine distilleries on the island of Islay and is a family business established by Anthony and Kathy Wills in 2005 when the first cask was laid down, and is now supported by their three sons, George, James and Peter.

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