The restaurant industry has faced significant challenges in recent years, with the pandemic and ensuing restrictions exacerbating existing difficulties. This has led to increased debt levels for many businesses, which have been further strained by factors such as rising interest rates, energy costs, and raw material prices. Additionally, labor shortages and declining consumer purchasing power contribute to the challenges faced by restaurants.
Despite these struggles, the warmer weather provides some relief for restaurant entrepreneurs. However, issues such as increased fixed costs leading to restaurant closures, like the Naughty Brgr chain shuttering three locations, highlight the ongoing challenges faced by the industry.
Timo Lappi, CEO of Mara, the tourism and restaurant trade association, emphasizes the significance of the ECB’s expected interest rate cut in June for the restaurant industry. He explains that this reduction could potentially impact both restaurateurs’ debts and consumer purchasing power.
Lappi also raises concerns about Finland’s high alcohol taxes and upcoming tax increases on accommodation and events. Despite these challenges, he remains optimistic about the future of the restaurant industry due to warm weather encouraging people to dine out.
Overall, while there are still several obstacles facing the restaurant industry in Finland, there is hope that improvements in weather conditions will provide some relief for entrepreneurs.
