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Ireland

Publicans reveal where every cent in price of a pint goes - with them banking a tiny cut

The VFI have called for urgent budget supports


  • Sep 04 2024
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Publicans reveal where every cent in price of a pint goes - with them banking a tiny cut
Publicans reveal where every c

Publicans have revealed a breakdown of where every cent of the price of a pint goes - as they warn of more closures unless they get help.

The Vintners Federation of Ireland (VFI) is calling on the Government to urgently address the severe challenges facing the pub industry.

They warned that without targeted support measures in the upcoming Budget on October 1st, many well-run pubs across the country risk closure, leaving a lasting impact on communities and the economy.

READ MORE: Pubs rethink is needed to keep doors open amid ongoing decline

READ MORE: Almost half of Dublin pubs 'will be forced to raise their prices' if minimum wage increases

The said escalating costs of running a pub have reached unsustainable levels, with publicans struggling to break even, let alone turn a profit.

Rising labour costs, the increase in energy and water bills along with some of Europe’s most punitive taxes were flagged as creating "a perfect storm, threatening the survival of an essential part of Irish social life".

VFI chief Pat Crotty said: “The pub trade in Ireland is at a breaking point. Without meaningful government intervention, we will see a wave of closures that will impact communities across the country.

"Publicans need long-term support, not just one-off schemes, to navigate these unprecedented challenges.”

The VFI has designed a poster explaining where the money goes after a pint is purchased.

“The Government takes €1.77 from every pint sold,” said the VFI CEO. “The drink supplier receives over €1.50 while staff costs account for €1.41. By the time overheads like insurance and TV sports subscriptions are paid the typical publican is left with just 17c.

"The average publican doesn’t come close to selling enough pints to make it a profitable business.”

Mr Crotty added: “The Government must recognise that pubs are more than just businesses—they are the heart of communities, providing social hubs and supporting local economies.

“We need a clear commitment from the Government that they understand the scale of the crisis facing our industry and will take decisive action to prevent the collapse of our cherished pub culture.”

The VFI urged the Government to consider their demands seriously and implement the necessary measures to ensure the survival and prosperity of the pub trade.

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