WHAT now for the famous name of Cains? There are now very real fears for the acclaimed Liverpool brewery following the news that its bankers will not back plans to secure the company’s future.

The brewer yesterday requested its shares be suspended from the AIM index after its bankers refused to support Cains’ proposals to take the business forward, including the repayment of an undisclosed tax liability.

It now faces being wound up by the courts in a fortnight's time.

The idea that this iconic brand, which is so much a part of the fabric of Liverpool, could be under threat is bound to cause dismay across the region, and the industry.

In its interim results announcement on Monday, Cains revealed six-month losses of £4.6m but hoped that some agreement could be reached with the bankers.

That the bank is not prepared to take that chance is a devastating blow for the Cains workforce; their commitment to the brand is second to none and the Bank of Scotland’s lack of confidence is all the more bitter a blow for that.

The economic problems that appear to be overwhelming Cains are not isolated to the brewing industry alone but the sector is experiencing some tough trading conditions right now.

Pubs are shutting at a rate of around 57 a month nationally, and profits were down to £65m in 2005, while alcohol duties continue to rise at a time when consumer spending is being constrained.

Global rises in food costs have caused steep increases in the cost of the industry’s raw materials, malt and hops, and the smoking ban, now in force for over a year, will have had some impact, along with the current focus on Britain’s drinking culture.

It is unthinkable that the name of Cains could disappear forever. Last week the Dusanj brothers appealed for the support of Liverpool to help them overcome their difficulties. Sadly, the bank’s refusal has now taken the fate of Cains beyond the assistance of the city.