NEARLY 40 per cent of Scottish pubs, clubs, restaurants and hotels have a seen a decline in sales in the third quarter of the year, as trade bosses warned that hundreds of outlets face closure next year unless radical change is made to the way business rates are calculated for the industry.
Publishing its latest quarterly business insight survey today, the Scottish Licensed Trade Association (SLTA) declared that outlets around Scotland continue to face “very difficult trading conditions”.
The survey, based on responses from more than 700 businesses, ranging from city centre bars to rural outlets, found that nearly four-fifths (39 per cent) said turnover was down compared with the third quarter of last year.
Some 13 per cent reported that sales were down by more than 10 per cent, while around one-third (33 per cent) of outlets said their sales position had not changed. That is despite those figures being measured against a period last year during which sales were found to have radically fallen in light of the reduction in the legal drink driving limit.
The legal limit was cut to 50mg of alcohol per 100ml of blood from 80mg per 100ml in December 2014, and was cited by the SLTA in June as it reported that more than half of licensed outlets had seen a decline in beer sales in the first half of this year.
Trade chiefs have also highlighted the pressure on operators from the introduction of the living wage for workers aged 25 and over in April.
Now the industry is warning the forthcoming revaluation of business rates will have a devastating effect on the sector.
Article Reproduced Courtesy of the Scottish Herald.
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