The price of all draft products will be raised by six cents on February 3, with costs to fall back on customers and publicans alike.
Prices were previously raised by four cents in July 2024.
Hospitality business owners joined Lunchtime Live to lay out the effects that constant price rises are having on their livelihoods.
Owner of a Drogheda hotel Glen told the show that customer prices will be raised 30 or 40 cents ‘for it to make sense’.
“I think Dublin prices are a bit different to Drogheda prices, but definitely – I would imagine – most places would have to go up 20 cents to cover,” he said.
“So, it’s a significant increase for our industry because just, the prices, everything has gone up so often and so regular, and inflation is supposed to be going down.”
Glen said that while the Christmas season was been busy, costs are piling up for businesses.
“The pressure is from the VAT, the increase in minimum wage, insurance costs – everything is piling on top of people,” he said.
“I’m talking to a lot of publicans, and they just can’t handle it anymore. I know a lot of people are going to close up in 2025, mainly due to the Government’s lack of action and the increased costs.”
'Disappointing'
Harney’s Furlong Pub in Tipperary’s John Harney said he is annoyed by this upcoming price increase.
“This kind of gets me going, the six cents is just 23%, so it is going up at nearly seven and a half cents,” he said.
“It annoys me a small because it seems then if a publican puts on 10 cents that they’re getting four cents when you take the VAT off when they’re not, they’re getting very little of it.
“Overall, it’s disappointing, because there is a struggle on it at the moment, and I think there is a cliff edge that we’re going towards where people will just decide, ‘No, it’s too dear’.”
Cut out global brands
One texter questioned if pubs could only sell local craft beers instead, cutting out the more expensive global brands.
However, owner of a gastropub in Connemara Michael Coyne said this wasn’t much of an option.
“That could be an option, but I’m not sure that would be feasible for pubs,” he said.
“It is a kick in the teeth for the hospitality sector because we are struggling, you know?”
Mr Harney agreed, saying his local customers ‘wouldn’t change’.
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Featured image: A party of four clink glasses and say cheers at The Black Bull Inn in Frosterley, County Durham, UK.