Global events are adding to an already challenging economic climate by driving up energy costs and hurting consumer confidence, a recent survey from the Scottish Licensed Trade Association (SLTA) has found.
The flash survey, conducted among SLTA members after the Easter weekend, found 85% of respondents are seeing increases in fuel and energy costs, with 71% of respondents saying they have seen customer confidence declining and customers reining in their spending.
A worrying 64% of respondents reported their turnover was down compared to last year.
That’s even worse than the 58% of respondents who predicted that they would see their revenues decline this year in the SLTA’s last survey, conducted back in January.
The most recent survey represented a cross-section of the Scottish trade, with the 150 respondents drawn from owned, managed, leased and tenanted venues and incorporating bars, pubs, restaurants and hotels from across Scotland.
It was conducted online, with answers kept anonymous.
Colin Wilkinson, SLTA managing director, said: “Our additional survey was conducted in response to growing concerns from within our membership about global economic conditions and geopolitical uncertainties and the impact these are having in our sector on top of the ‘homegrown’ challenges we are currently facing.
“To be blunt, this is simply unsustainable as operators are being hit by a double whammy of growing costs, particularly fuel and energy, and a decline in consumer confidence as households tighten their wallets.”
Wilkinson also called on Scotland’s newly-elected politicians to ‘walk the walk’ with regard to the licensed hospitality sector.
“The licensed hospitality industry is a major part of Scotland’s tourism sector and a significant employer, especially for younger individuals. The sector is an integral part of Scotland’s culture and history and, in many cases, serves as a crucial social centre, boosting community inclusion, reducing isolation, and supporting mental health,” said Wilkinson.
“Politicians can no longer ignore the broad economic and social value of the licensed hospitality sector.”
