Ireland’s pub sector is facing a deepening crisis, with a new report revealing that 2,119 pubs have closed nationwide since 2005 – a 24.6% decline in publican licenses.
The research, commissioned by the Drinks Industry Group of Ireland (DIGI), highlights a worrying trend for rural communities and small businesses alike.
Compiled by DCU Economist and Associate Professor Emeritus Anthony Foley, the report shows that Ireland has lost an average of 112 pubs every year, with this figure rising to 128 annually between 2019 and 2024.
Should this trend continue, an additional 600 to 1,000 closures are projected in the next decade.
The impact is most severe in rural counties.
Limerick experienced the highest closure rate at 37.2%, followed by Offaly (34.1%), Cork (32.7%), Roscommon (32.3%), Tipperary (32.0%), and Laois (30.6%).
In contrast, Dublin saw a relatively modest decline of just 1.7%.
All 26 counties recorded a drop in pub numbers, reflecting a national challenge.
DIGI points to rising operational costs, including one of the highest alcohol excise duties in Europe, as a key factor driving closures.
They argue that current economic conditions, compounded by global trade pressures and declining tourist numbers, are making it increasingly difficult for pubs, particularly those that are family-owned or rural, to remain viable.
“The report reveals a steady erosion of pubs in Ireland, especially in rural areas,” said Professor Foley.
“With further economic pressures looming, the outlook for many small businesses in the hospitality sector is bleak without meaningful government support.”
DIGI is calling on the Government to act in Budget 2026 by cutting alcohol excise by 10%.
This, they say, would offer immediate financial relief and help safeguard the role of pubs as economic drivers and social centres in Irish towns and villages.
Donall O’Keeffe, Secretary of DIGI, warned: “More than 100 pubs are shutting their doors each year.
“Many are the last remaining social hubs in their communities.
“Without urgent action—such as an excise cut—these closures will accelerate, with profound consequences for rural Ireland’s economy, tourism, and identity.”
The time to support Ireland’s pub sector, DIGI insists, is now, before more doors close for good.
