A total of 122 pubs in Donegal have closed down since 2005, according to new research.
The study carried out for the Drinks Industry Group of Ireland (DIGI) states that, nationally, around 114 pubs on average have closed every year of the last 18.
This figure has risen to 144 a year in the period between 2019 and 2023, which includes the Covid-19 pandemic.
DIGI claims that 2,054 pubs have ceased trading in Ireland since 2005, a reduction of 24%.
Every one of the 26 counties has seen the number of pubs in it decrease over the last two years, with closure rates highest in more rural counties.
Limerick is the county with the biggest decline in the number of public houses, with a drop of 35.6% since 2005.
It is followed by Roscommon where the fall has been 31.9% and Cork where there are 31.4% fewer pubs.
Dublin has been the least impacted, with a decrease of just 2.8%, followed by Meath with a 6.7% contraction and Wicklow at 8.9%.
The analysis does not, however, mention the number of new pubs that have opened over the period under review.
“This analysis verifies the consistent trend we have been seeing with pub numbers in every part of the country,” said Professor Tony Foley, economist and associate professor emeritus at Dublin City University, who carried out the analysis for DIGI.
“There is clearly a variation on closures between counties which broadly sees rural areas adversely impacted.
“The continuing decline is taking place against a backdrop of societal change and cost of business strains,” he added.
“Consumption of alcohol has notably decreased, how we socialise is changing, the types of drinks we consume are changing, particularly the rise of low-alcohol and alcohol-free products,” he said.
DIGI is pointing to rising costs in the sector, including energy and insurance, as a major challenge.
A survey of 600 pubs and restaurants which was carried out as part of the report found nearly one in four had seen their business costs rise 20-30% over the past two years.
15% said their business costs had climbed by 40% over the same timeframe.
“Pubs, restaurants, and hotels employ over 207,000 people which is 8.3% of all employees in the country,” said DIGI Chair and Communications and Corporate Affairs Director at Irish Distillers, Kathryn D’Arcy.
“These people and the businesses they work for are part of the economic and social fabric of their communities.
“Running such businesses in a climate where the cost of doing business is squeezing more and more is difficult,” Ms D’Arcy added.
DIGI has called for a cut in excise duty on alcohol, as it claims the rate on spirits and beer is the third highest in Europe and the rate on wine is the second highest.
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