Pub Closures and Declining Alcohol Sales – Ireland is experiencing a cultural change  .
              
                 
Ireland’s once-vibrant pub culture is under increasing threat, with new research revealing that over 2,100 pubs have shut their doors between 2005 and 2024. Commissioned by the Drinks Industry Group of Ireland (DIGI), the study paints a stark picture of an industry in decline, with an average of 112 pubs ceasing to trade each year—equating to one in four closing permanently.
The study, compiled by economist and DCU Professor Emeritus Anthony Foley, highlights a near 25% drop in pub licences over the last 20 years, from 8,617 to just 6,498. Rural Ireland has suffered the most, with Limerick experiencing the highest decline at 37.2%, followed by Offaly (34.1%) and Cork (32.7%). By contrast, Dublin recorded the lowest decline at just 1.7%, reflecting the resilience of the urban hospitality market

But the challenge goes far beyond rural decline. DIGI warns that without urgent government intervention, a further 600 to 1,000 pubs could close over the coming decade. The group is calling on the government to reduce excise duty on alcohol by 10% in the next Budget. Currently, Irish pubs face one of the highest excise rates in Europe, on top of a 23% VAT rate—placing immense financial strain on publicans, particularly those operating small, family-run premises outside major cities.
Donall O’Keeffe of the Licensed Vintners Association adds that more than 100 pubs are closing annually, largely due to these government-imposed costs. He warns that without immediate policy changes, Ireland risks losing vital community hubs and a cornerstone of its tourism sector.

However, economics tells only part of the story.
A fundamental cultural shift is reshaping Ireland’s relationship with alcohol—especially among young people. Data from the HSE, WHO, and Irish Census show a marked decline in youth drinking. Adolescents are drinking less and starting later, driven by a combination of public health initiatives, changing social norms, and increased digital engagement.
The Public Health (Alcohol) Act 2018 introduced significant controls on alcohol visibility, advertising, and pricing, aligned with WHO recommendations. These measures, coupled with heightened parental monitoring and concern about alcohol-related harm, have contributed to a new generation that is more health-conscious, socially aware, and reluctant to engage in risky drinking behaviour.
Several theories explain this trend. More young people are staying at home longer, delaying independence, and participating in digital and social lives online rather than in pubs. There’s a growing emphasis on mental health, sustainability, and personal development—factors that shift priorities away from alcohol consumption. For many in Gen Z, alcohol is no longer seen as a social rite of passage.

This cultural evolution, combined with rising immigration from non-drinking cultures, is reshaping social behaviour. Influences such as competitive sports, social media, and declining tobacco use—which previously acted as a ‘gateway’ to alcohol—are also significant. While difficult to measure precisely, the success of public health campaigns targeting alcohol and tobacco use has clearly played a role in reducing youth drinking across Ireland.
The result? Fewer young people in pubs, fewer customers, and declining drink sales—especially outside of urban centres. This has left many rural pubs unable to adapt or survive.
As Ireland continues to modernise and embrace healthier, more inclusive lifestyles, the future of its pubs remains uncertain. Without targeted state support—such as a cut in excise duty and incentives for rural regeneration—many more closures are inevitable. What’s at stake is not just an industry, but a cultural institution that has long been central to Ireland’s identity.
For publicans, communities, and policymakers alike, the time to act is now.