Cost of living pressures killing family owned cafes and restaurants

Cost of living pressures are having a major impact on the country’s hospitality venues, particularly family run restaurants and cafes.

Several have been forced out of business as soaring staff wages, the cost of supplies, and interest rates hikes reduce spending capacity.

February data released by the Australian Securities and Investments Commission (ASIC) shows approximately 484 businesses went into administration or liquidation last month, up 45 per cent from the same time a year ago.

The February figure is a 134 per cent increase from January this year. 

Things are likely to get worse as well, with energy costs set to skyrocket by between 20% and 30%.

Caruso's Italian restaurant shut down on Sunday after five years of trade.

shuttered - a much-loved eatery he has run with his wife Kerrin in Gymea, New South Wales, for the past five years.

“No matter what avenue you turn they are asking for more money,' Caruso owner Rocky Pitarelli, who ran the eatery with wife Kerrin told Daily Mail Australia. 

“Chicken was $9.80 a kilo three months ago – now it's $11.50. A drum of oil was $40 – now it's $85. 

“Chips – the humble French fry – used to cost us $20 a box – now we are at $67. 

“Utilities used cost us $500 a month – now it's $700 and today they are saying it will be another 20 per cent. 

“There's no regulation. Everybody is looking after their own pockets.”

Pitarelli accused Prime Minister Anthony Albanese of abandoning small businesses. 

Café and ice cream shop owner Jenny Hyde is also closing her doors due to skyrocketing costs.   

“Rising energy costs and staff wages have really hit us,' she told Daily Mail Australia.

“I was still working part-time as a nurse – day shifts, lates, nights – in order to pay the bill and keep it afloat.'

“The days I wasn't working in the hospital I was in the shop. I've done that for six months and I've taken it alone but I'm just not prepared to do it anymore.”

Jonathan Jackson - 16-3-23