One-quarter of businesses have ceased trading either temporarily or permanently due to the impact of the Covid-19 pandemic, according to the Central Statistics Office.

The CSO’s findings come from its survey of 3,000 businesses carried out between May 5 and May 12.

The survey indicated that 76% of responding enterprises were continuing to trade as of May 3, while the balance had ceased operating. Seven in 10 respondents reported a drop of at least 10% in turnover during the period April 20 to May 3.

Just over half (52%) of enterprises had implemented working arrangements to facilitate social distancing measures, while one in 10 companies had pivoted production to meet new demands for products. Chief among the new products manufactured were personal protective equipment and hand sanitisers.

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In the construction sector, two-thirds of respondents to the CSO survey said that they had ceased trading either temporarily or permanently as of May 3.

One in five services enterprises also reported either temporary or permanent closure over the same period. In the food and accommodation sector, seven in 10 enterprises ceased operating either temporarily or permanently.

The industrial sector was the least hit by closures overall, with c.15% reporting either a temporary or permanent cessation of trading. Almost one-quarter of respondents from all sectors told the CSO that they had either paused or cancelled recruitment as a result of the Covid-19 pandemic.

In other findings, one-third of businesses have let staff go temporarily, while 6% let staff go permanently. Decreased working hours were reported by almost 40% of companies.

Just under one-third of businesses reported that the majority of their workforce was working remotely, increasing to 38% for large businesses. Almost one-quarter of respondents had the majority of their workforce working in their normal working location.

The CSO also found that nearly half of businesses reported that a reduction in domestic demand was damaging their business. Cashflow difficulties are being faced by more than half to the respondents to the CSO survey – this rises to more than nine in ten businesses in the accommodation and food services sector.

The CSO survey showed that one-third of businesses have found new methods of providing products or services as a result of the Covid-19 restrictions.