Cost increases will see 1,000 small businesses close this year

In Cork alone, four high-profile restaurants have closed in recent days

Nash 19 on Prince's Street, Cork is one high-profile business forced to close its doors recently.  Picture: Larry Cummins

The cumulative impact of a series of cost increases, as well as the looming deadline to pay off warehoused tax debt, could lead to 1,000 business insolvencies this year, according to business consultants PwC.

Businesses who warehoused tax debt during covid restrictions must have it paid or have a payment plan in place by May 1, with around €1.75bn still outstanding from around 60,000 businesses. However, around 85% of that total is held by just 10% of those firms, leading to warnings that "hundreds" of businesses could close their doors.