Pub closure figures ‘totally skewed’

The future for the rural Irish pub scene appears uncertain following the publication of yet another report, with calls for the government to properly investigate the true extent of closures on the ground and also look at reducing levies.

Figures quoted for the number of pubs closed in Cavan in recent years are “totally skewed”, according to local industry sources, who suggest the situation is actually “three to four times” worse than reported.

The Drinks Industry Group of Ireland (DIGI) released a report last week claiming that 38 pubs had closed their doors across County Cavan since 2005, a decline of 17.2%, with 11 of these closures occurring since the pandemic hit.

Based on latest Revenue figures, the DIGI analysis found there are now 6,680 pubs operating in Ireland (down 22.5% or by 1,937 bars), and that the highest rate of decline occurred in rural areas, a trend that has accelerated post Covid.

Fergus Murphy, chef and proprietor of Murph’s Gastro Pub at Butlerbridge’s Derragarra Inn, is also head of the Cavan branch of the Vintners Federation of Ireland (VFI).

Shocked

Mr Murphy says the reported DIGI figures fail to take account of the number of pubs closed where licences still exist. He also points out that there are many licensed premises where owners have severely curtailed their opening hours, some only opening on evenings or weekends.

“Totally skewed. Even by a factor of as much as three to four times for Cavan,” he says of the analysis. “If we really took a deep look at the situation on the ground here, I think the Government would be shocked.”

Through his role with the VFI, Mr Muphy is in regular touch with representatives in other counties too.

“It’s the same in Monaghan, two or three times more at least. There are 21 pubs less in Monaghan Town,” he said.

Mr Murphy estimates that, if a publican allows their license to lapse, it will cost at least €10,000 to get the doors back open and bring the building “back up to spec”.

“You have to renew it, that’s a solicitor and a barrister’s fee, then the fire officer comes in and says ‘change your doors, change your windows, rewire the building’. Some pubs are in families 20, even 40 years, so they don’t have to worry about meeting these requirements. It’s only if the licence is sold, or the building is sold... It’s roughly about €10,000, and that’s a fair estimate given the way costs for everything have gone, especially building materials at the moment.”

‘Simple economics’

It all boils down to “simple economics” says Mr Murphy. A building with a licence is “a lot more valuable” than one without.

“There are a lot of licences still out there, and a lot of people who haven’t opened since Covid, who’ll never reopen, their family has no interest in taking over because they’ve seen the hardship their mother and father had.

“It’s a changed industry, and facts are facts. Those numbers are only a paper cover for what is actually a much bigger, industry-wide issue and it’s something the Government is going to have to get to grips with sooner or later.”

Independent Cavan councillor and owner of Belturbet’s Widow’s Bar, Brendan Fay agrees with Mr Murphy.

During the pandemic Cllr Fay was part of a WhatsApp group of some 50 publicans spread across Cavan, Monaghan and Fermanagh, the North East and North Midlands, who would share information about the trade and changes to the industry caused by restrictions.

Of that group now Cllr Fay estimates 15 have since sold their licences, another 10 only open at the weekend, with around 25 still “actively trading”.

Problems

“So the problem facing the industry is way worse than what is actually being said. The dog on the street knows a lot of these places are never going to reopen.

“You only have to look at the likes of Belturbet. It has five pubs but 12 licences. As far as the Government is concerned, they’re getting money for licences, the number is there on paper, but none of these places are open. Swanlinbar had eight pubs. It only has one today. How could their numbers be right?,” asked Cllr Fay.

Scapegoated

Cllr Fay welcomes the initiative by Cavan County Council’s to buy up such properties that otherwise risk falling into dereliction, and transform them into social housing.

“It happening across the road from me, at The Duckin’ Stool, three new apartments. We’ve been banging on for years about the need to breathe new life into our towns and villages. But it is changing the fabric of our towns and village,” he says blaming the government for sending out “mixed messages” about the industry, which he also feels was “scapegoated” during the pandemic.

“You had the Queen come over and we see her visit the Guinness Storehouse, a pint in her hand, or Darren Clarke winning the Masters, and a pint in his hand, all the while there’s this message put out there ‘is that all we have to offer as a nation?’

“But people forget what pubs and restaurants and hotels have done for this country in terms of keeping an economy, creating jobs, long before we had Google or Facebook.

“If things stay the way they are now, what we’ll have is the government handing out grants for pop-up pubs in tourist areas just try and bring the craic back.”

Solutions

DIGI is calling on the Government to ease the cost burden on regional small and family-run pub businesses by reducing Ireland’s high alcohol excise tax- which stands at the second highest in Europe behind Finland.

Mr Murphy though feels there is “no silver bullet” and that there needs to be a Government-led industry review carried out.

“There are plenty of pubs that are doing well, that bit the bullet, put a lot of money into their pub, they see a future and have started doing food.

“But, on the flip side of that, who would have thought that a bucket of mayonnaise would have gone up €20 in just a couple of years? I was paying €20 for 10 litres before the war, and now it’s in excess of €40. €20 for one item. So when you go to price a dish, every little thing has gone up in price.

“Take fish and chips. The potatoes cost more. The fish costs more. Everything costs more except the wedge of lemon. And you can only charge so much.

“To make any profit really on a fish and chips by rights you should be charging €25, but you can’t. That’s what you used to be charging for a 10-ounce steak!

“So you’ve these pubs that have gone into food now, invested all this money - in equipment, in staff, in produce - and the cost of everything, on top of the cost of electricity, it’s all gone up and the margins for keeping their head above water are getting smaller and smaller all the time.”

Calling Time at Flynn's in Belturbet

John Gerard Flynn is one such publican currently in final stages of a process to sell his bar at Kilconny, Belturbet.

This week he received a letter from Revenue informing him that he has to renew his licence.

“It’s amazing the things that I don't worry about so much anymore,” he tells the Celt. “At the end of this licensing period, I'd imagine they'll have more than just my own not renewing.”

Like so many others John Gerard closed due to Covid and never reopened.

“It was always my intention to get out at some stage, and while business was on the decline before Covid, it was a long time then to be closed, and it was an opportunity maybe for me to bring my plans forward.”

John Gerard feels it would have been “foolish” for him to reopen only to decide a few months further down the road to call time on the trade.

The “time off” during the pandemic also helped put things into “perspective” for John Gerard who, as a member of the local fire service, has more time to enjoy his hobbies.

“It was another opportunity at life.”

The Flynn's bar property has been sold separate to the licence, which is still held in John Gerard's name and which he intends to soon sell on.

Changing times

John Gerard took over the bar from his parents John and Nola who set up there in 1967. He gives it up with a “heavy heart but a clear mind”.

“The only thing I'm conscious of is that it was public house going back to the 1900s, and it was bar and grocery. I'm conscious I'm the person who's called time on the whole thing.”

He quickly lists off a dozen or so pubs with similar legacies within a mile radius, all of which are also now closed, and laments: “It’s no different to them. That's the times we live in.”

Having made peace with his decision, John Gerard says he is “forever grateful” to his customers for their support down through the years.

“I haven't forgotten the loyalty and support through the years.”

A snapshot across the county

A look right across the county shows 183 live licences but the doors of some of the pubs they relate to remain closed.

Arva has currently three bars open, down from almost half a dozen; and Blacklion has two pubs plus the licence held by Neven Maguire's MacNean House & Bistro.

Dowra (2 licences) and Bawnboy (2) and Swanlinbar all have one bar each open, the latter having three licenses left in the village where there used to be 11, the last sold being that held by The First and Last.

There are currently 17 bars open in Cavan Town, plus four hotels, with eight closed; Ballyconnell has five bars open, down from eight; Belturbet has five, had 18, and 12 licenses still exist; and Shercock has three trading where there were once 11.

Bailieborough has five bars open, plus the licence held by the Bailie Hotel, but previously had close to 10; Butlersbridge has three licences, with two bars open; and Ballinagh has six.

Kilnaleck, which once had the highest number of pubs per head of population anywhere in the British Isles, but lost that title as far back as 2009, now has three bars open, down from 14 at its height.

Killeshandra meanwhile has the Lough Bawn and three bars, but double the number of licences in the town; Kingscourt has five bars currently open; Ballyjamesduff has four; Virginia has three including Richard Corrigan's newly opened Deerpark Inn, plus the hotels, down from nine a decade ago.

Cootehill has seven but double the number of live licences including The Errigal and White Horse Hotels; Milltown and Tullyvin have one apiece; Mount Nugent two including Crover House; Mullagh has three plus the hotel; Loch Gowna has three including the Piker's Lodge; and Kilcogy/Mullahoran had five with four still open.

A smattering of rural bars still open their doors to regulars, from The Stray Sod in Drung to The Tank in Denn and Gallonray House in Maudabawn; Sheehan's Bar in Ardlougher and The Shantully in Crossdoney, Duggan's in Drumliffe, and MacSeain's of Cornafean, to the Farmers in Kilcogy to name but a few.