A West Clare town is bucking a widespread national trend of closures in the hospitality sector.
It follows a new analysis from the Restaurants Associations of Ireland which predicts an average of two food-led businesses will close their doors every single day this year.
Amid a perfect storm of rising input costs, wage bills and a cost of living crisis, four new food-led businesses have opened their doors in Kilrush in as many months.
An Beag Café on Henry Street is the newest of them , having opened its doors just a fortnight ago, in a premises that still retains its original stone structure, from when it operated as a public house in the early 1900s.
According to GeoDirectory, a quarter of commercial buildings in the West Clare town are currently unoccupied.
Andrew Flood from Clonlara, who runs the businesses alongside his wife Aoife, says while the fine margins of hospitality are challenging, they were determined to breathe new life back into the community.
The RAI reports that 212 restaurants and cafés have closed their doors already this year, something it claims will cost the national economy over €288m euro and could directly affect over 4,600 jobs.
The association has pointed to the increased minimum wage of €12.70 per hour, the 13.5% Hospitality VAT rate and the new auto-enrolment pension and statutory sick-leave entitlements as contributory factors.
John O’Brien from KIilmaley, who has over 30 years of experience in the sector and is now Head Chef and Owner of the two-month-old An Teach Bia Maith, insists there are simple and effective ways for businesses to keep their profits intact.
Oileán, takes its name from Scattery Island, it also opened on Henry Street just last month and now employs ten people, with plans for further expansion.
Owner Megan Nolan says there’s great camaraderie between businesses in the town and is hopeful the increased competition will boost footfall for all.
She’s urging any businesses facing difficulties to avail of supports from their local enterprise office and to seek advice from other traders.
Judi Kinnane opened the Jellyfish Marketplace Café in December, and she believes that while government needs to provide more assistance, businesses must focus on controlling their controllables.
But she admits the current climate is stark for hospitality providers.
You can listen to the full interview below.
