The government is spending €15m 'to keep pub doors open' - but the final plan's not settled yet

IN THE BUDGET today, Tánaiste Simon Harris announced a €15 million plan to help ‘keep our pub doors open’, but what does this plan actually entail? 

Well, we don’t fully know yet.

During his budget speech in the Dáil on Tuesday, the finance minister said he’d be working alongside enterprise minister Peter Burke to develop a scheme to assist publicans.

The scheme will be targeted towards rural pubs, and Harris said supporting them will help “keep an important part of rural life alive”.

Speaking to media after the budget announcement, Harris said this will likey involve “a rebate scheme around kegs” but there is “a bit of work” they need to do to on the plan, including seeing what’s possible under European law. 

Harris said: “What I’ve decided to do, in consultation with government colleagues, is allocate €15 million to put in place some measures to assist with the sustainability of rural pubs from July.”

Fianna Fáil spokesperson for rural affairs, Carlow-Kilkenny TD Peter ‘Chap’ Cleere, welcomed the investment in rural pubs and said it will help ensure that “social isolation doesn’t become a prominent issue in rural Ireland”.

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Vintners’ Federation of Ireland (VFI) chief executive Pat Crotty, meanwhile, called the funding “a vote of confidence” in the industry.

In a statement today he said the money is “a great starting point”.

“Many challenges, of course, remain, but today is a positive day for our rural pubs and the communities they serve.”

The VFI represents pubs in rural areas and back in May they warned that rural pubs are facing an “existential threat to their survival”.

VFI has said over 2,220 pubs have closed since 2005, with the closure rate hitting an average of 128 per annum in recent years.

Meanwhile, the Licensed Vintners Association (LVA), who represent pubs Dublin and other urban areas, criticised the funding for doing “nothing for pubs in Dublin or other urban areas, but a higher cost of doing business”.

The LVA also criticised the increase in the minimum wage and the lack of reduction in excise duty on alcohol. 

Alcohol Action Ireland (AAI) also criticised the plan. They called the 15 million investment a “misguided decision” and said they were “disappointed” to see no increase in excise duty. 

AAI CEO Dr Sheila Gilheany said the funding is “yet more proof that this government has absorbed industry spin as opposed to looking at the facts around alcohol, which is Ireland’s cheapest, most harmful and most widely available drug”.