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Thuringia Restaurants Face Unabated Closures Amid Rising Costs
🇩🇪 Germany /Economy & Trade

Thuringia Restaurants Face Unabated Closures Amid Rising Costs

From Die Zeit · () German

Translated from German, summarized and contextualized by DistantNews.

At a glance

News Named sources Context piece
  • The restaurant industry in Thuringia, Germany, faces an ongoing crisis, particularly in rural areas where establishments are closing due to low revenue and high costs.
  • Rising expenses for personnel and food, coupled with a lack of successors for aging owners, contribute to the industry's strain.
  • Most restaurants used a VAT reduction to keep prices stable rather than increase profits, as costs continued to rise.

Rural Thuringia is struggling to maintain its restaurant scene, with establishments increasingly disappearing from the landscape. Dirk Ellinger, managing director of the Hotel and Restaurant Association (Dehoga), stated that the trend of closing restaurants, especially in rural regions, is unabated. He cited insufficient income against high costs and a lack of successors as primary reasons.

The trend that restaurants and pubs are dying, especially in rural regions, is unbroken.

— Dirk EllingerThe managing director of the Hotel and Restaurant Association (Dehoga) described the situation facing Thuringia's rural eateries.

Nearly a third of businesses, 31 percent, face a generational handover within the next decade due to owners' age. Ellinger described the overall situation in the sector as tense, with no end to the difficulties in sight. This sentiment extends to revenue, where most restaurateurs and hoteliers utilized a VAT reduction primarily to stabilize prices rather than boost profits.

It is not a turnaround in sight.

— Dirk EllingerThe Dehoga managing director expressed pessimism about the future of the restaurant industry in Thuringia.

Jacqueline Schambach-Hummel, director of the Ahorn Hotel in Oberhof, noted that cost increases, particularly for personnel and food, have offset the VAT reduction. Dehoga figures reveal that 612 gastronomy businesses in Thuringia closed between 2019 and 2025, representing over 12 percent. The state currently has 4,257 hospitality businesses, many of which are family-run.

As the VAT was reduced, costs increased.

— Jacqueline Schambach-HummelThe director of the Ahorn Hotel in Oberhof explained how businesses used the VAT reduction.
DistantNews Editorial

Originally published by Die Zeit in German. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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