DUBLIN, Ireland: Dublin's pub market saw a surge in value in 2024, with 20 pubs changing hands for a total of 69.6 million euros—up from 47.3 million euros for the same number of sales in 2023, according to a new report from property advisory firm Lisney.

Publicans remained the primary buyers, accounting for 55 percent of transactions and 37 percent of total value, while private equity made a notable return to the market, contributing 39 percent of total sales across three deals.

The report highlighted ongoing challenges for the industry, particularly staffing shortages and rising operational costs. With the national minimum wage increasing to 13.50 euros in January 2025, along with additional labor costs such as statutory sick pay, increased public holidays, pension auto-enrolment, and higher PRSI contributions, pub operators are facing growing financial pressures.

Lisney noted that 21 licensed premises were publicly put up for sale in Dublin during 2024, a sharp drop from 34 the previous year. Of these, six sales were linked to difficulties arising from the end of the government's debt warehousing scheme. The primary reasons for sales were retirement and business realignment, with 80 percent of publicly completed transactions retirement-driven.

By the end of the year, nine pubs had sold publicly, while 11 were acquired through off-market deals. Demand for well-located city premises remained strong, with notable sales including Bar Eile at Baggot Street and Mespil Road, Foley's on Merrion Row, Cassidy's on Westmoreland Street, Cassidy's on Camden Street, McSorley's on Ranelagh, and Devitt's on Camden Street. Of these, five were transacted off-market.

Lisney's report also pointed to broader financial concerns in the licensed trade sector, including rising utility costs, VAT rates, debt warehousing, and difficulties securing bank financing.

Despite lobbying efforts from the Licensed Vintners Association and the Vintners Federation of Ireland, the government has maintained the VAT rate on alcohol sales at 23 percent and on food at 13.5 percent. The industry groups had sought a return to the previous nine percent VAT rate on food sales, arguing that it would help protect jobs and ease financial strain on businesses.