Mayo pub population down 21%
SOME 71 rural pubs closed in Ireland in 2018, according to industry analysis by the Drinks Industry Group of Ireland (DIGI).
The figure is a stark reminder of the pub’s continued decline in rural Ireland. In the period between 2005 and 2018, 1,535 or nearly 20% of rural pubs closed.
DIGI’s analysis of Revenue figures show the rural pub population declined by almost a quarter in Mayo (-21%, or 98 pubs) in the period 2005-18. In contrast, Dublin has experienced a nett loss of only 10 pubs since 2005, a 1% decrease.
The drinks and hospitality sector enable 4,095 jobs and €184 million in tourism spend in Mayo.
Among the lowest decline in pub numbers reported were in Wicklow (-1.9%), Meath (-2.4%) and Kildare (-9.9%).
The majority of these low-earning businesses are located in rural Ireland and are particularly vulnerable to taxation policy, any sudden tax increases, any decline in inward tourism and economic uncertainty.
The high cost of alcohol excise tax remains a source of significant concern for rural publicans and, indeed, hoteliers, restauranteurs, off-licence owners, and other drinks and hospitality business proprietors. Ireland has the second-highest overall alcohol excise tax in the EU, the highest excise tax on wine, the second highest on beer, and the third highest on spirits.
DIGI has called on the government to reduce alcohol excise tax by 15% over the next two years - 7.5% in Budget 2020 and then by an additional 7.5% in Budget 2021.
DGI says for pubs in rural or isolated areas, the extremely high cost of alcohol excise tax puts them in a precarious position, limiting their ability to trade more successfully, continue to attract tourism and to invest in their business.
Our pubs are a significant part of regional Ireland and play a crucial role as community meeting points in rural and isolated parts of the country. According to recent research conducted among 400 publicans by DIGI, more than three-quarters (77%) say their business plays an important part in providing a place for local people to come together for family occasions, like birthdays, christenings and funerals.
Some 68% of publicans say that their business sponsors a local team, charity or community group, while 63% say that their pub provides a space for elderly people living in isolation to socialise with others.
Research conducted among 1,000 consumers by Amárach Research in May found that when international relatives visit Ireland, pubs and restaurants prove more popular than tourist attractions, as more than half (51%) of Irish people bring international visitors to their local pub, 64% bring their guests to their local restaurant, both compared to just 1% who bring their guests to their local tourist attraction.
Commenting, Rosemary Garth, chair of DIGI and director of communications and corporate affairs at Irish Distillers, said: “Ireland’s rural pubs have been on a steady decline for years, despite their immense importance and contribution to local communities across the country. With the now very real prospect of a no-deal Brexit, government action and support have never been more important.”