'Running nightclubs has never been harder'

Club owner John O'Donohue says the problems are "beyond my front door"

A nightclub and bar owner has called on the government to do more to help a hospitality sector struggling with rising costs.

John O'Donohue, who runs three venues in Lincoln, said the annual energy bill for one of his bars had risen from £40,000 to £160,000 in five years, and added: "You just don't make any money. You have to ride through the storm."

Across the UK, about 800 night-time venues have closed in the past five years, according to the Night Time Industries Association (NTIA).

The government said the night-time economy was "vital" and it was cutting the cost of licensing, extending business rates and had reduced alcohol duty on draught pints.

Mr O'Donohue, who owns Carousel, Home and Craft in the city, said it had "never been harder" during his 15 years in business.

Ahead of Wednesday's Budget, he said people had "the desire to come out", but needed more money in their pockets to allow them to do so.

"The problems are beyond my front door," he added. "If the government can create an environment where interest rates come down, people's mortgages go down, food prices stay down and energy prices go down, those people will have more money to come on to the high street."

The government says the sector is "vital" to communities

The NTIA, which represents bars, nightclubs and festivals, said the late-night sector had shrunk by more than 26% since March 2020 and more than 89,000 jobs had been lost since October 2024.

Michael Kill, the chief executive, argued taxation for the sector was "phenomenal compared to others".

He said: "Even to get a pint of beer across the bar we're taxed three times."

Another industry body, UK Hospitality, has called on the Chancellor to reduce business rates, National Insurance contributions and the level of VAT.

The BBC spoke to people on the streets of Lincoln.

Mia Ross, 19, and her 18-year-old friend Molly Swinscoe said they did still go out on nights out, but not as often as they would like because of the cost of drinks and getting a taxi home.

"Drinks are expensive, entry into places, everything, it's too much," Ms Swinscoe said.

"It's just ridiculous," Ms Ross added.

From left: Molly Swinscoe,18, Ben Huddlestone, 24, and Mae West,19

Billy Barnes, 22, said he and his friends were money-smart on nights out.

"We just avoid certain places, there are some we do and don't go to because we know they're expensive or cheaper," he added.

Mae West, 19, said: "Not many people do go out anymore, it's a dying thing.

"Everyone's a bit rowdy, I'd rather be in bed."

And for Ben Huddlestone, 24, the cost of drinks was a factor in how often he went out.

"Drinks are very expensive," he said. "Two rum and cokes are £15 easily."

A government spokesperson said: "The night-time economy is vital to local communities.

"That's why we're cutting the cost of licensing, helping more nightlife venues offer pavement drinks while protecting them from noise complaints, and extending business rates relief for these businesses – on top of cutting alcohol duty on draught pints and capping corporation tax."

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