Irish pubs and independent off-licences in ‘crisis’; DIGI

Nearly 60% of alcohol sold in Ireland last year was done so through the off-licence channel
Nearly 60% of alcohol sold in Ireland last year was done so through the off-licence channel

The ‘Drinks Market Performance Report' report shows VAT and excise increases were key factors affecting operators' businesses.

Print

PrintPrint
Off-trade

13 May 2013

Share this post:
 

advertisement



 

Alcohol sales in pubs have fallen by nearly one third in volume terms in the past five years, according to the latest annual report from the Drinks Industry Group of Ireland (DIGI).

The ‘Drinks Market Performance Report’ also shows consumptions levels have fallen by 0.5% last year and by almost 20% since 2001.

The group has warned that this means the trend of job losses will continue. There have already been 6,000 job losses in Irish pubs since 2009.

DIGI points to a hike in alcohol product taxation of up to 41% as being a major contributor; fortified by a shift in consumer habits.

Almost 60% of alcohol sold in Ireland last year was done so through the off-licence trade. However the organisation also states that independent operators within the off-trade sector have likewise suffered a further decline in business.

"The figures in this report are stark; the Irish pub and independent off-licence sectors are in crisis and that crisis is being exacerbated by the huge tax hikes the sector has had to shoulder in the last 18 months," said DIGI chairman Peter O’Brien.

The report highlights the VAT increase on alcohol products from 21% to 23% in January 2012 and large excise increases in Budget 2013 resulting in beer excise increasing by 22%, spirits by 18% and wine by 41%, as key factors affecting operators’ businesses.

 

advertisement



 
Share this post:



Back to Top ↑

Shelflife Magazine