Lockouts cause 31% drop in revenue for Darlinghurst venues
Following the State Parliament’s debate over Sydney’s lockout laws yesterday afternoon, a survey in Darlinghurst showed the suburb’s clubs have been hit hard as a direct result of the laws.
A surveyundertaken by the Darlinghurst Business Partnership on the effects of the lockout laws found local bars, pubs and clubs saw a 31% drop in annual turnover last year, as a direct result of Sydney’s lockout laws.
Including responses from over 200 businesses and employees (43% of which worked in bars), the survey found bars, pubs and clubs in the area underwent an average decrease of$2.29 million in 2013 and $1.58 million last year, an overall average decrease per business of $710,667 over the last three years.
The day time economy has also been hit hard with retail businesses including record stores reporting an average 25.% decrease in annual revenue turnover.
The survey also found that between 2013 and 2015 the number of businesses which employed more than 10 full time staff members saw an 18% drop in the employee hours generated.
The survey data shows a 30.2% decrease in full time staff per business for bars, pubs and clubs between 2013 and 2015. Part time staff at for bars, pubs and clubs saw a decrease of 42.9% with an average loss of 11.6 part time staff in under three years.
94.4% of employees stated that job opportunities in the Darlinghurst area have decreased since the introduction of the lockout laws in February 2014. Shockingly, only 50% of businesses surveyed are expected to still be operating in the next 12 months.
Darlinghurst Business Partnership President Stephan Gyory, who owns The Record Store on Goulburn Stsaid the data is proof ofthe Government’s swift dismantling of the suburb’s night time economy.
“While naturally not everything over this period can be pointed wholly and solely on liquor laws, feedback from both businesses and employees surveyed is that these laws have had a major impact,” he said.
The controversial 1:30amlockoutlaws wereset into place in February 2014. City of Sydney’scommissioned report on the nighttime economy (2012-2015) found that people are leaving Kings Cross and Oxford Street around 1am, rather than staying in venues until closing time.
The domino effect has seen widespread venue closures across the city including iconic bars like Hugos, The Soho, Lansdowne Hotel, Goodgod Small Club, Goldfish and Flinders Hotel.
Speaking to TMNJohn Wardle, Policy Director at Live Music Office, said there is evidence that the NSW Government is willing to collaborate with the music industry to combat the fallout from the lockouts.
“There are positive steps being taken that demonstrate a willingness from the NSW Government to work with the live music and hospitality industry to reactivate the CBD entertainment scene,” he said. “The establishment of the safe and vibrant Sydney night-time economy roundtables has been an important initiative, and the Live Music Office looks forward to joining a range of stakeholders across interest groups for the third roundtable meeting next week.”
Speaking at the Legislative Assembly’s lockouts debate yesterday afternoon, Greens Member for Newtown Jenny Leong quickly addressed the elephant in the room: the exemption of the Star City casino and the incoming casino at Barangaroo.
“Why oh why are the casinos exempt?,” she said. “Perhaps Casino Mike has the answers to that one.”
“The fact that the casino is excluded enrages people […],” said Greens member Jamie Parkerlater in the debate. “This reflects power rather than good public policy.”
Liberal MP John Sidoti, who represents Drummoyne, simply diverted attention to the release of Hon. Ian Callinan AC’s review of the lockouts, “The Government will not be pre-empting the review’s findings, which will be based on evidence.”
Retired Justice Hon. Ian Callinan AC is currently reviewing the effectiveness of the Sydney lockouts, along with the 3am cessation ofliquor sales, 10pm take-away liquor laws and the annual liquor licence fee program.His report will be submitted to the NSW Government for consideration in August.
Stephan Gyory told TMN today that while the lockout restrictions are “lazy and easy”, they’re probably not linked to an overarching political agenda.
“While it’s easy to see a conspiracy here, I don’t believe they are that organised or capable,” he said. “The sense is more that the policy was rushed half-arsed through because of a severe media beat-up and because the ’liberal’ world view is about shaping the world to their ideology, they went for curfews and prohibition; it’s a natural instinct for conservatives.
“It’s also lazy and easy, especially if it does not impact your way of life, which when you look at cabinet, it’s obvious that none of those guys do anything in Sydney other than visit their parliamentary offices and dine on the harbour,” he added.
During yesterday’s debate Sydney MPAlex Greenwich drew attention to a data released in February by the Live Music Officewhich found live music venues have lost 40% in revenue from ticket sales in the Sydney CBD lockout zone since the laws were introduced.
Tyson Koh, who spearheads anti-lockout activist movement Keep Sydney Open, spokein Martin Place after the Legislative Assembly’s debate. He saidthere would be more protests similar to February’s rally, which drew 15,000.
Image: The first Reclaim The Streets protest in Kings Cross
Credit:Joachim Pforr