Steep fall in hospitality spending following Level 3 restrictions

Dublin users spending in restaurants fell by 39% by the third week of additional restrictions, compared to the week prior to Level 3 being introduced

Members of the public enjoying outdoor coffee and dining in Dublin City centre. Picture: Sasko Lazarov / RollingNews.ie

The move to Level 3 restrictions in Dublin had a significant impact on the hospitality and tourism sectors, new data from Revolut shows.

Comparing spending in the week before Level 3 was imposed (Week 0) to the first, second and third week following the additional restrictions, online bank Revolut saw significant impacts in how Dublin users spent their money, with the hospitality and tourism sectors taking the hardest hit.

Dublin Revolut users spending in hotels was down by almost half by Week 3 of Level 3 restrictions, compared to Week 0, while spending in restaurants fell by almost two fifths (39%) by the third week of additional restrictions, compared to Week 0.

Museums and other tourist attractions saw spending down by 45% and cinemas saw spending down by 81% in Week 3 versus the week before Dublin was placed in Level 3.

Fast food retailers held up reasonably well, with spending down just under 10% in Week 3 compared to Week 0.

Dr Paul Scanlon, Professor of Economics at Trinity College Dublin said the figures “do not augur well” for the hospitality sector: “Especially with the onset of cooler weather over future months.” 

The nationwide data shows a steep fall in spending on transport, leisure and hospitality, even before the rest of the country moved to Level 3.

Irish Revolut users spending in restaurants, cafes and bars was down by more than a third last month (35%) compared to the same period last year. 

Among those Revolut users who did spend money in the restaurant, cafe and bar sector, the average monthly spend was just €68.45 compared to €84.47 the year previously.

The number of Revolut users spending money in restaurants also fell by 19% year-on-year.

Moreover, Revolut points out that figures do not take account of the fact that in 2019, more people may have paid their bills in cash, whereas growing numbers of restaurants and cafes are now asking for card payments only.