Almost 60 jobs lost in independent off-licence sector since January 2013 

The National Off-Licence Association (NOffLA) presented 15 Wine awards at their annual, ‘Irish Wine Show Gold Star Awards 2013/2014’ which were held in Dublin last night (7 October).

Speaking at the awards, NOffLA Chairperson, Evelyn Jones expressed her deep sadness over the closure of 11 independent off-licences in Dublin, Meath and Kildare and the number of jobs lost in the past 8 months. She said: “At least one business has gone to the wall each month and over 60 jobs have been lost in a relatively short period of time. The sector is on its knees and within a few years will have died out completely.  

“Independent specialist off-licences represent a traditional family trade in Ireland with some businesses spanning 8 generations, the oldest one operating since 1805. They operate in the heart of their communities and employ the highest standards of responsibility when retailing alcohol. Large multiple retailers on the other hand use alcohol as a footfall driver and sell alcohol in an extremely irresponsible manner. The deep discounting of alcohol that is undertaken has had a very damaging societal effect on this country and we need government to introduce measures to eradicate this practice”, she said.  

NOffLA expects a further 5 businesses to close by the end of December 2013 and a further 20-25 are expected to close in 2014. Since 2008, a total of 3,000 jobs have been lost in the independent off-trade sector.  Independent off-licences held 21.8% of the market share in 2012 but it is estimated that they will hold only 16% market share in 2014. 

Speaking about Budget 2014, Ms Jones said: “Independent retailers have had to struggle with the excise increases brought about by Budget 2013. These increases had a destructive impact on independent off-licences who were already experiencing significant declines in sales and turnover.  

“Raising excise duty on alcohol is too often looked upon as a quick source of Exchequer funding; however such repeated measures have instead resulted in a dramatic reduction in taxable consumption and a subsequent rise in the Black Economy. Should Budget 2014 increase excise duties we can expect a much higher number of closures – perhaps more than 30.  

“It is difficult for anyone in the industry to agree that the revenue raised through excise is enough to justify the countless job losses and business closures and any further increase will surely sound the death-knell for our sector”, said Ms Jones.