Ireland’s Shifting Drinking Culture: Consumption Falls to European Average, Industry Calls for Tax Cuts
A new report commissioned by the Drinks Industry Group of Ireland (DIGI) reveals a significant and sustained decline in alcohol consumption among Irish adults. Consumption fell by 4.5% in 2024 alone, bringing the average intake per adult to 9.49 litres of pure alcohol. This continues a downward trajectory spanning the last 25 years, marking a substantial 34.3% reduction since 2001.
The data, compiled by Anthony Foley, Associate Professor Emeritus at Dublin City University, using Central Statistics Office (CSO) and Revenue Commissioners data, indicates a clear shift in Irish drinking habits. DIGI states this demonstrates that Irish people are “increasingly drinking alcohol in moderation.” Beer retains its position as the most popular drink (43% market share), followed by wine (28%), while spirits (22%) and cider (6%) saw declines in consumption share.
Crucially, this report aligns with other recent analyses. OECD data for 2022 and a separate Health Research Board report confirmed that Ireland’s alcohol consumption has now fallen to average levels when compared to other European Union or OECD countries. Ireland ranks behind nations like France, Spain, and Austria. Donald O’Keefe, Secretary of DIGI and Chief Executive of The Licensed Vintners Association, emphasised this shift: “Today’s figures offer clear proof… Irish people are increasingly drinking in a restrained manner… In contrast to the negative stereotypes that once existed, alcohol consumption in Ireland is now at average European levels.” He also noted the continued increase in the purchase of non-alcoholic drinks.
This normalisation of consumption levels forms the basis of a significant argument put forward by DIGI regarding alcohol taxation. O’Keefe pointedly questioned the rationale behind Ireland maintaining the second-highest excise duty rates on alcohol in Europe: “This downward trend also raises the obvious question as to why Ireland continues to have the second highest excise rates on alcohol in Europe. Given that we now consume alcohol at average European levels it makes sense that we should pay excise at average European levels also.”
DIGI links the high excise rates directly to the struggles of the hospitality sector, particularly in rural areas. O’Keefe stated that “hundreds of small rural pubs and restaurants are struggling for survival due to repeated increases in the cost of doing business.” He argued that a reduction in excise duty would provide vital relief: “offer these businesses an opportunity to continue acting as vital hubs in their communities, as well as a crucial part of our tourism product.”
Consequently, DIGI is making a specific demand for the upcoming Budget: a 10% cut in alcohol excise duty. O’Keefe framed this as “an urgent measure to give [rural] businesses a fighting chance of survival.”
In summary, the data paints a picture of a long-term, significant decline in Irish alcohol consumption, bringing it in line with European averages and challenging outdated stereotypes. While DIGI presents this as evidence of responsible consumption, it simultaneously leverages the data to challenge the government’s high excise tax policy, arguing it is now unjustified and detrimental to the survival of rural pubs and restaurants, and calls for an immediate 10% tax cut.
