Sunday 20 February 2011

Bars and night spots lose over 19% of sales thanks to smoking ban

SPAIN (Agencies) The Federación Española de Hostelería (FEHR), which groups various catering and hostelry organizations, reports that bars and cafes, and night spots, have seen a decrease in sales of 19.14% and 19.88% respectively in January, according to a poll taken among 1,200 businesses. The smoking ban has affected restaurants a little less, as these report a downturn of 14.35%. The report says that the ban has caused 'significant losses' in 85.94% of establishments, while only 1.49% report an upturn. "This makes the former Health Minister, Trinidad Jiménez (now Foreign Minister), a liar because>she insisted that the new law would produce an increase in business when the law came into effect," says the President of FEHR, José María Rubio, who adds that the situation is "desperate" for the smaller businesses and "it is understandable that some refuse to apply the law" although the federation does not advise it (See related item here).
 
Rubio has asked the various political parties to "rectify the most radically prohibitionist and costly law" that could, in his judgement, cost between 50,000 and 60,000 jobs. He adds that his Federation is seeking ccordination with those associates who carried out remodelling of their establishments to adapt to the previous law, so that a class action suit can be made against the State with a view to recovering that investment.

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