Are Irish Pubs drying up? Nearly 40 Leitrim Pubs close in last two decades

A new report from the Drinks Industry Group of Ireland (DIGI) shows that 39 pubs in Leitrim have closed since 2005. This decline shows to be part of a larger trend across Ireland, where over 2,000 pubs have shut down in the past 18 years.

The report, called “Support Growth: A Sustainable Future for Ireland’s Drinks and Hospitality Sector,” reveals that rural areas are the hardest hit. Counties like Limerick, Roscommon, Cork, Tipperary, and Laois have seen more than 30 percent of their pubs close. Meanwhile, Dublin has only seen a small decline of 3 percent during the same period.

On average, 114 pubs have closed each year across the country since 2005. However, this number has increased to 144 closures per year from 2019 to 2023.

The reasons behind these closures include rising costs and changes in how people socialize. A survey included in the report found that nearly 25 percent of pubs and restaurants have faced a 20-30 percent increase in their costs over the last two years. Another 15 percent reported even higher cost increases of more than 40 percent.

Kathryn D’Arcy, Chairperson of DIGI, says that high excise duties are adding to the pressure on small businesses. She notes, “The decline of over 2,000 pubs since 2005 reflects the real change and challenges this sector is dealing with. Running such businesses in a climate where the cost of doing business is squeezing more and more is difficult.”

Pubs, restaurants, and hotels employ over 207,000 people across Ireland, making up 8.3 percent of all jobs in the country. D’Arcy emphasizes that these businesses are crucial to local communities, especially in rural areas where pubs are often central to social life.

The report also points out that people are drinking less alcohol and that more consumers are choosing low-alcohol or alcohol-free options. This shift in habits, combined with rising costs, has made it harder for many pubs to stay open.

Despite these challenges, the report suggests there is room for growth if the government steps in to help. For example, if excise duties were lowered, 23 percent of pub owners said they would refurbish their businesses, 18 percent would hire more staff, and 13 percent would invest in new services like food or accommodation.

As Leitrim and other rural areas continue to see pubs close, the report urges action to support these important community hubs and keep the tradition of the Irish pub alive.