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Sasko Lazarov/Photocall Ireland

More than 1,000 Irish pubs have had to shut down since 2007

And it’s all about tax, say industry chiefs.

DRINKS INDUSTRY HEADS have today called for a reversal in the increase of excise duty on alcohol, blaming it for the closure of more than 1,000 pubs in Ireland since 2007.

The Drinks Industry Group of Ireland (DIGI) claimed that rising tax on alcohol had “cost jobs, has made our tourism offering less competitive and has punished the hard pressed Irish consumer.”

Speaking before the Joint Oireachtas Finance Committee today, Padraig Cribben, CEO of the Vintners’ Federation of Ireland (VFI), said successive hikes in excise meant Ireland was now “the most expensive country in Europe to buy alcohol.”

Research by Fáilte Ireland had, he claimed, found that the high price of drink was second only to bad weather when tourists were asked to list their grievances about holidaying in Ireland.

Excise damages our rural pubs and independent off-licences…The small pubs in rural communities cannot soak up excise increases…

They are forced to pass the increase on to consumers who often assume the publican is price gouging.
80% of the increase in the cost of a pint in the pub since 2011 has been directly caused by taxation.

Rising prices in the Republic have also caused a rush across the border, where alcohol is, on average, 35% cheaper, Cribben told the committee.

Alcohol Action Ireland, however, have countered today’s statement by DIGI, claiming that “tackling pricing, including increasing excise duty, is one of the most effective ways a Government can reduce alcohol consumption.”

Its CEO Suzanne Costello said in a statement this afternoon:

Simply put, if the price of alcohol goes up, alcohol-related harm – and the huge financial burden it places on the State – goes down.
We have seen in the recent past that increases in excise duty have led directly to a reduction alcohol consumption in Ireland, while when excise duty has been cut, as it was in 2010, our alcohol consumption has increased.

Budget 2013 saw a 10 cent increase on the price of a pint of beer, cider or a standard measure of spirits, and a 50 cent rise on a 75cl bottle of wine.

The year before that, a €1 tax hike on wine was found to have brought in €45 million in additional revenue.

Read: We spent €50 million a week on alcohol in 2013 – and 75% of that was binge drinking>

The top 10 countries that spend the most on beer – where do we rank?>

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    Mute Ryan Carroll
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    Sep 12th 2013, 12:39 PM

    This is the same OECD that 2 years ago told Europe we had to get used to ” a permanently lower standard of living” now suddenly it’s all roses? They are all over the place

    Don’t be confused lads this is what they call a ”jobless recovery”, the ‘recovery’ is in the stock market and share prices, not your wallet.

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    Mute Jim Flavin
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    Sep 12th 2013, 1:00 PM

    Don’t be confused lads this is what they call a ”jobless recovery”, the ‘recovery’ is in the stock market and share prices, not your wallet.”
    Well said – all they are interested in is what they call the ” Economy ” – which will have little impact on the people – and the ever growing Rich / Poor divide .
    they are claiming a recovery and growth in UK – and in US to some extent – but they do not care about unemployed people – or wages etc . I n fact mist governments now are trying to please the people who really rule us – and provide them with low wages – and no trade Unions .

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    Mute MrKnow
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    Sep 12th 2013, 12:51 PM

    Well with a month left to budget 2013, 3.5million will be took from taxes and cuts, and not forgetting price hikes in fuel etc coupled with stealth taxes will dry up the last bit of household and consumer spending which will stop that growth.

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    Mute Adam Power
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    Sep 12th 2013, 3:43 PM

    3.5 million? I wish pal lol

    Be between 2-3 billion, I doubt very much it will be at 3 – 3.5 billion though. Maybe €2.5 billion.

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    Mute Ian Walsh
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    Sep 12th 2013, 12:07 PM

    What growth??? Are the OECD deluded as well? We are STILL in recession. There needs to be a serious relaxation on the aul austerity if any sort of meaningful growth is to be established otherwise we are in for 10 years of stagnation and high unemployment.

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    Mute Anthony Moran
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    Sep 12th 2013, 12:22 PM

    Five years down already so half way there… Keep the faith lad, keep the faith hahaha

    21
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    Mute Bill Butler
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    Sep 12th 2013, 12:38 PM

    Ian they people that run our society and i mean the real rulers the financial houses do not care about you or me only they want it all.

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    Mute Ignoreland
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    Sep 12th 2013, 1:09 PM

    It’s not clear whether we’re still in recession or not. Data for the second quarter of 2013 (April-June) won’t be available until next week.

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    Mute Declan Conway
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    Sep 12th 2013, 12:40 PM

    One area we can make a big saving – unemployment benefit for non-EU nationals.

    Scrap all of them and replace with something called ‘Start-up Aid’.

    It gives 500 euros a month for 12 months to people as a leg-up. After a year, no more money.
    If you’re in work, then no bother. If not, sorry we cannot afford it.
    In Galway City and County a staggering 67% (two out of three) non-EU nationals are on the dole and have been for more than two years. They are unlikely to find work soon, if ever.

    It will save the State about 1.4 billion euros a year.
    There’s your water rates, there’s your property tax.
    Plus a lot left over to start jobs creation.

    Denmark did it in 2009 to slow down the rate of economic migration.
    It did – by 85%. Only the highly skilled and educated migrate there now. A lesson for us.

    I did propose this to Joan Burton several months ago and got this reply.

    “Dear Mr. Conway

    Minister Joan Burton T.D., has asked me to acknowledge your recent e-mail. The contents of which have been noted.

    Yours sincerely
    Jacinta Crawford
    Private Secretary”

    In other words, the ‘claimants party’ didn’t want to know.
    However, can can still make the Dail listen. Let your TD know.

    43
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    Mute Ignoreland
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    Sep 12th 2013, 1:13 PM

    So what if the non-eu national has been living here for years and paying their PAYE and PRSI like everybody else? It wasn’t immigration that screwed this country up. Also, trying to stop immigration into Ireland stinks of hypocrisy when one of the main controlling factors that’s stopping our unemployment rising above 14% is emigration.

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    Mute Eoin Dineen
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    Sep 12th 2013, 1:30 PM

    @ Declan: Do you have a source for those stats for Galway Live Register?

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    Mute censored
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    Sep 12th 2013, 1:34 PM

    Not really. Ireland doesn’t have a functional immigration policy (unlike all those other countries to which Irish people are emigrating). There is no shame in creating one and enforcing it. Nor is it racist, as some seem to believe. In fact, the current polcy IS pretty shameful as it can leave people in limbo for years not knowing what their future is.

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    Mute Ryan Carroll
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    Sep 12th 2013, 1:51 PM

    AFAIK you can only get social insurance if you’ve been working here for 6 months as an EU and 2 years as a non EU national and in that case they paid into the system like everyone else so they should be allowed acess it.

    Don’t delude yourself into thinking we have esp lavish social services we really don’t, compared to the rest of Europe ours are where most EU states were in the early 20th century.

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    Mute Ignoreland
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    Sep 12th 2013, 5:11 PM

    Censored, what exactly is ‘dysfunctional’ about our immigration policy? Please elaborate because if you’re going to make a claim like that you have to back it up.

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    Mute censored
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    Sep 13th 2013, 1:04 AM

    No I don’t, you are not that stupid.

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    Mute Brendan McGrath
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    Sep 12th 2013, 12:40 PM

    ..if Government can reduce the debt to 60% of GDP by 2030?….I think we need a bigger boat

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    Mute Jim Flavin
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    Sep 12th 2013, 1:07 PM

    things are getting better – but even the report admits
    ” the report noted that “unemployment remains high, emigration has resumed, and poverty has increased, adding to heavy debts and financial distress”.
    – how is this recovery ??
    But things will be better in 2030 – presumably – that date is a moveable feast.
    This is just PR BS – to try to get us to accept more and more cuts . the people who made the biggest errors – the casino bankers have literally gotten away with robbery .
    also some wont be around in 2030 – who knows who will be – so what are they paying for .

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    Mute Andrew Potts
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    Sep 12th 2013, 2:07 PM

    FOr the usual lucky and connected things are only great , for those propping them up things are not like that at all.

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    Mute Fergal McDonagh
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    Sep 12th 2013, 2:11 PM

    Basically, the speculators and bullshit artists are back on form. Recovery? Don’t make me laugh.

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    Mute Gillian Foale
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    Sep 12th 2013, 2:15 PM

    The picture for this article is great, like getting on a plane…..the super wealthy will turn left and the rest of us to the right……

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    Mute Pete Foley
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    Sep 12th 2013, 12:59 PM

    There saying it’s working so we will keep paying up.

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    Mute John Mangan
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    Sep 12th 2013, 2:09 PM

    Sure when did an Irish government ever listen to the OECD?

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    Mute censored
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    Sep 12th 2013, 1:30 PM

    Can we be sure that the OECD did their sums right this time? Did they check them twice?

    http://www.washingtonpost.com/blogs/wonkblog/wp/2013/04/16/is-the-best-evidence-for-austerity-based-on-an-excel-spreadsheet-error/

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