Huge drop in number of local pubs since 2005
The number of pubs in Westmeath has fallen by almost a third in the last 20 years, a new report has revealed.
The report from the Drinks Industry Group of Ireland (DIGI) shows that 2,054 pubs have closed nationwide down within the past 20 years, including 64 Westmeath pubs.
Westmeath is one of seven counties to experience a decline of 30% or more in their number of pubs. The rate of decline in Westmeath has accelerated in recent years with 18 pubs closing between 2019 and 2023.
Counties Limerick (35.6%), Roscommon (31.9%), Cork (31.4%), Tipperary (31.2%) and Laois (30.6%) have seen the highest declines, while Dublin (3%), Meath (6.7%), Wicklow (8.9%), and Kildare (12%) have the lowest closure rates. All 26 counties have experienced a decline in pub numbers since 2005.
This latest analysis comes on top of recently published data by the Restaurants Association of Ireland which found that 283 food-led businesses such as restaurants, cafés and gastropubs closed in the last six months of 2023, with a further 212 such businesses shuttered so far this year.
A recent survey of almost 600 pubs and restaurants, conducted as part of today’s report found that almost one in four had seen their business costs increase by 20-30 per cent in the last two years. An additional 15 per cent found that their business costs had increased by over 40 per cent in the last two years.
In addition to this, the survey found that if government support, such as a cut in the excise rate was provided, it would allow the industry to sustain and grow. Twenty three per cent of business owners would refurbish their business, 18 per cent said they would hire more staff and 13 per cent said they would invest in new offerings or services such as food or accommodation.
Commenting on the report, DIGI chair and communications and corporate affairs director at Irish Distillers, Kathryn D’Arcy, said:
“The decline of over 2,000 pubs since 2005 reflects the real change and challenges this sector is dealing with. Pubs, restaurants, and hotels employ over 207,000 people which is 8.3 per cent of all employees in the country. These people and the businesses they work for are part of the economic and social fabric of their communities. Running such businesses in a climate where the cost of doing business is squeezing more and more is difficult. DIGI’s research shows that when government responds, particularly on heavy cost items like taxation, the sector responds. Punitive taxes like excise duty which are in some instances 12 times higher here than in other countries, are one such cost item.
‘’Ireland’s excise on spirits and beer is the third highest in Europe, while our excise on wine is the second highest in Europe. We have some of the highest excise duties in the world and the second highest in Europe overall.
“These businesses are integral to Ireland’s tourism offering. We need to take that consideration into account too. We are calling on Government to deliver a reduction in Ireland’s extremely high excise duties which would make an immediate, positive difference to the hundreds of small businesses in our sector struggling to stay open. We have costed, considered plans on how to do this and welcome engaging with government and others on our proposals”.