Kerry TD urges government to slash excise duty to stop ‘rapid-fire closure’ of rural family businesses

By Alastair Tibbs, The Kerryman

Kerry TD Michael Cahill has urged the government to cut excise duty to help save declining family businesses in rural Ireland.

The Fianna Fáil deputy feels that towns and villages all over rural parts of the country are losing their cultural heritage, as pubs, restaurants and shops are being forced to close due to financial difficulties.

The Drinks Industry Group of Ireland released a report this year that found that more than 2,100 pubs across the country had closed since 2005, amounting to one in every four.

Co Limerick and Co Offaly experienced the highest percentage decrease at 37pc and 34pc respectively, while Kerry did comparatively better at 19pc decline.

Mr Cahill has backed the Vintners Federation of Ireland in calling for a 40pc reduction in Excise Duty to support small family businesses who’s profit margins rely substantially on the sale of alcohol.

“We are losing our local grocery shop to the large supermarket chains, local family focused restaurants to the high end fooderies and our local pub providing traditional music cannot cope with the loss of customers who now are more inclined to enjoy a drink at home,” said Mr Cahill.

“Change does and will come to all markets, but the rapid-fire closure of businesses in rural Ireland is sucking the life and soul out of our culture and heritage. The knock-on effects will hit musicians, cooks, seasonal jobs for students, small local businesses like bakeries, etc.

“It is imperative that we try to save this part of our recent past, because of the wide ripple effect it will have. I have forwarded these fears to the Ministers for Finance and for Public Expenditure and I have urged them to support and protect these small family businesses. The Vintners Federation of Ireland has called for a 40% reduction in Excise Duty and I have strongly supported their request."

Drinkaware Barometer 2024 published a report this year which illustrated the changing habits of Irish people. Almost one-third of adults who drink alcohol at least once a week report that drinking alone at home is their most common drinking occasion.

This was closely followed by 30pc who reported their most common occasion was with family or housemates over mealtimes.

Deputy Cahill’s announcement comes after well-known bar in South Kerry closed its doors last week after 37 years in business.

The second-generation owner of the Fertha Bar in Cahersiveen, Alanna Kelleher, said there are so many pressures on small businesses that’s it very difficult to survive.

In a recent interview with reporter Sinead Kelleher, she said it had been much harder to operate her business recently and that it was no longer viable in today’s market climate.

“There is not enough supports for businesses who are keeping going. There are start-up grants and they are in and out but no-one is looking after those who are in for the long haul.

“Pubs will survive but not the genuine authentic ones. This is our livelihood not a side operation, we are not like the bigger chains we are one man behind the bar making money out of a pint of Guinness and talking to customers.

“The hours and the running costs are just too expensive,” she added