The cost to small f irms of storm
SMALL businesses lost an estimated half a billion euro as the country ground to a standstill during Storm Emma this week – a cost that could have been significantly reduced if the country had adequate broadband allowing staff to work from home, industry experts have argued.
The Government’s stated goal of achieving access to broadband for 540,000 homes hit a speed bump in January when Eir pulled out of a procurement process, leaving just one firm, Enet, in the fold.
Director of the Small Firms Association, Sven Spollen-Behrens, estimated the loss to small business at half a billion euro.
‘The insufficient broadband coverage in Ireland outside of the bigger urban areas means that working from home in situations like this is not a realistic option,’ he said.
‘Whilst it is very difficult at this stage to say what the exact economic impact of the current weather phenomenon is, the loss of business on top of additional costs is likely to be higher than €500m.
‘Our members have been better prepared this time as many were caught out in Storm Ophelia. However, our members from the retail, hospitality, transportation and manufacturing sectors are hugely concerned about the loss of revenue and the additional pressure this puts on their businesses.’
Paul Rooney, owner of the Green Hen restaurant on Dublin’s Exchequer Street said his company’s weekly earnings were down approximately 75%.
He took issue with the Government’s warnings, arguing that the initial briefings had affected footfall in the city centre early in the week, well in advance of the heavy snowfall of later in the week.
By yesterday, as the thaw set in, customers were returning to Dublin city centre, he said. ‘Most people are looking for some food and there aren’t many options for that so we’re hoping to pick up a bit of business,’ he said, adding, ‘I wouldn’t be optimistic.’