CBA President: 'Exciting updates expected soon regarding the old Debenhams building'

President of the Cork Business Association, Aaron Mansworth of the Trigon Hotel Group, has said that there are “encouraging signs of recovery” for Cork’s economy in the year ahead, but that the same challenges seen last year, as well as some new ones, could cause difficulties.

January of 2024 saw numerous businesses in the city close, a trend that continued throughout the year, but there are bright sparks on the horizon, and solutions to projected challenges, he said.

Mr Mansworth told The Echo: “2024 was undeniably a challenging year for businesses, particularly in the hospitality sector, with the early months seeing significant closures due to rising costs and reduced footfall post-Christmas.

“However, there are encouraging signs of recovery as we look ahead to 2025. Over the past few months, Cork has welcomed a wave of new openings, including restaurants and hotels.

“On the retail side, there have been new developments including the much-anticipated arrival of Sprout & Co on Winthrop Street, and exciting updates expected soon regarding the old Debenhams building.

“We’re also delighted to see Opera Lane now fully occupied, with Mountain Warehouse joining next year.”

However, he said: “While these developments point to a positive trend, the high cost of doing business remains a pressing issue across all sectors, especially hospitality.”

The group is looking to meet with recently elected TDs to discuss the issues facing retailers and hospitality businesses, with the hopes that promises made to the business community in party manifestos are kept.

“The CBA will continue lobbying for measures to ease these burdens, including Vat reductions, and we’re actively seeking meetings with newly elected TDs to push for supportive policies,” Mr Mansworth said.

He added that as the next government finalises its programme, the CBA “urge them to prioritise” two key things.

Firstly: “Reducing the cost of doing business, starting with a re-evaluation of the Vat rate and other key operational costs that heavily impact SMEs and hospitality businesses,” Mr Mansworth said.

The return of the Vat rate to 9% had been campaigned for ahead of the last budget, after the rate was restored to 13.5% in Budget 2024 by Michael McGrath.

There was disappointment in the sector when it was left at that rate by Finance Minister Jack Chambers in Budget 2025 in October — Fine Gael’s manifesto promised a cut to 11%, as did the manifestos of several other parties, but no specific promise was made in the manifesto of Fianna Fáil, the largest party in the probable new government. Secondly, Mr Mansworth said they would push for: “Establishing a Cork City Task Force to help drive investment, create jobs, and address systemic challenges facing the city.”

One such challenge facing the city is housing. Mr Mansworth said: “Housing difficulties in Cork are a significant concern for our business community.

“The shortage of affordable and accessible housing is impacting staff, making it challenging to attract and retain employees.

“Additionally, increasing the availability of housing in the city centre would have a positive ripple effect — improving footfall for local businesses, fostering a stronger sense of community, and contributing to safer, more vibrant streets. It’s an issue that needs to remain a priority for all stakeholders.”

He added: “The commencement of apartment construction at Horgan’s Quay this year marked an exciting step forward. The Cork Docklands project is now a major focus for city council, promising to bring much-needed homes to the city.

“Budget 2025 also pledged further investment in housing at a national level, and at Cork Business Association, we will continue to advocate for Cork to receive its fair share of this funding.”

As well as working with the new government, he said: “We are particularly optimistic about working with the revitalised Cork City Council, led by its new Chief Executive and Directorate, to align on a shared vision for Cork city’s future.

“Partnerships like these will be instrumental in delivering positive change for the city and its business community.”

Over the year, the CBA worked towards becoming a safer and cleaner city as well as on the night-time economy, and Mr Mansworth explained that the two things are interlinked for them, with a safer city being more likely to attract night time visitors and a more alive city at night making the streets safer.

Cork City Council approved its Night-Time Economy Strategy, which is designed to transform the city into a thriving 24-hour destination with a focus on improving the city’s offerings from 6pm to 6am, earlier this year.

Mr Mansworth said: “The CBA is committed to supporting initiatives that make Cork the safest and cleanest city as it will have a positive impact for the day and nighttime economy.

“We are continuing to work closely with An Garda Síochána to advocate for increased resources for Cork in 2025, and the launch of the Community Safety Wardens Scheme (CSWS) will provide additional support to ensure people feel safe while enjoying everything our city has to offer.

“We will continue to partner with Cork’s night-time economy advisor on campaigns that improve the feeling of safety in the city at night-time and give people a reason to visit.

“Our recent campaigns, such as Leave a Light On — which brightens the city streets during darker months — and Coffee House Lates, encouraging people into the city, have received excellent feedback.

“These initiatives are contributing to a more vibrant and secure city atmosphere, with many businesses planning to continue them into the new year,” he explained.

The new year will bring with it the continuation of issues such as the cost of doing business, housing and safety, but also some potential new challenges — all of which the CBA is prepared to face.

Mr Mansworth said: “While it’s still early days, there is potential for economic impacts stemming from changes in US policy under Trump’s presidency, particularly for large enterprise businesses operating in Cork. Reduced contributions to the exchequer from these corporations could pose challenges.”

Focusing on supporting smaller Irish-owned businesses could help offset any loss from multinationals, he said, explaining: “In response, we believe it’s vital for the government to focus on supporting SMEs, which will play an increasingly important role in sustaining the local economy and future exchequer funding.

“Ensuring these businesses have the tools they need to thrive will be critical.”