Cork pubs are struggling to stay open, says VFI

CORK pubs are struggling to keep the doors open, the city and county chairman of the Vintners Federation of Ireland (VFI) has said, as new research shows almost half of Irish adults plan fewer visits to the pub for the remainder of the year.

Michael O’Donovan, who owns South Main Street's Castle Inn, said the VFI was calling on Finance Minister Paschal Donohoe to put in place a substantial package of financial measures to help pubs survive the winter.

“Since 2005, Cork has seen 20% of pubs close, we’ve seen 384 pubs close, so that will tell you the pressures pubs are under, and with energy bills rising both domestically and commercially, that’s a major concern,” Mr O’Donovan said.

“Pubs are struggling to keep the doors open, and the lights on, and wages paid for staff.” 

Mr O’Donovan’s remarks came as new research found that more than one in four people intend to curtail visits to the pub this year.

A Cost of Living Consumer Pulse Survey, carried out last month, found 42% of Irish adults plan to visit hospitality venues far less often between now and New Year’s Eve, due to cost of living pressures.

Mr O’Donovan said the VFI was calling for supports for the pub trade in Budget 2023, because, he said, pubs do not want to pass on increases to customers already under financial strain.

“The pub trade has 50,000 employees in Ireland, generating €60.7 million in wages, and if pubs are in decline, you’d have huge concerns for staff and for premises staying open over the months ahead, especially during the winter into the spring.

“We’re asking Minister Donohoe to put a substantial package together to see us through the next 12 months, we’re asking him to reduce excise duty by seven-and-a-half percent, and we’re asking him to maintain the 9% VAT rate,” Mr O’Donovan said.

“We are also asking for substantive help in regard to energy bills, be that in a rates rebate or in wage subsidies.

“We’re calling on the minister to help us through the next number of months,” he said.