Some Irish pubs will be forced to close for good in the winter due to the spiralling costs of energy and gas, bosses have warned.
Energy supplies across the continent are tight, with costs spiking as a result and Ireland facing the prospect of winter blackouts.
Minister for the Environment Eamon Ryan appeared on Tuesday morning in front of an Oireachtas Committee to discuss energy security, announcing that a new plan to combat energy poverty is set to be published shortly after September’s budget.
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However, one area being affected badly by the price hikes is the hospitality industry.
In the UK, the landlord of one pub in Essex told the BBC that his energy costs had risen from about €15,000 a year to €40,000.
He fears he could have to shut his bar - fears which are being mirrored in Ireland.
Speaking on Tuesday, VFI Chief Executive Paul Clancy told the Irish Mirror: "There is no doubt pubs across Ireland are facing an extremely challenging autumn and winter period.
"Already we are hearing about energy bills that are double or triple last year’s rates. There are more increases planned for later this year and the political view is this crisis will last for at least two years.
"In the face of this challenge, pubs will be forced to make difficult decisions. "
These decisions could see costs of pints rise, opening hours be slashed to save costs and even closure of some pubs.
Mr Clancy continued: "They were already attempting to manage increased business costs such as insurance and food so energy costs rising to unprecedented levels will see some pubs deciding to open for shorter hours, or in some cases, close for the winter. We may even see pubs close for good.
"These increases cannot be ‘passed on’ to the consumer, who is already under pressure from rising inflation and an increase in general costs.
"During Covid the Government introduced a series of measures to support pubs that were forced to close, including the commercial rates waiver. Our members will need a similar type intervention over the coming months.
"We don’t think people fully realise what is coming down the tracks.”
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