Italy's Neighbourhood Bars Close as Costs Rise and Habits Shift

Pietramontecorvino, a town of roughly 2,000 residents in the province of Foggia, saw its oldest bar shut in January after 138 years of operation. By August, with municipal support, locals had converted it into a public space that serves drinks and coffee and hosts cultural activities in the adjoining piazza. Such closures are spreading across Italy: FIPE (Federazione italiana pubblici esercizi) data for 2025 counted almost 125,000 bars nationwide, with 6,579 more closures than openings. Valle d'Aosta, Lombardia, Abruzzo and Veneto recorded the sharpest percentage declines. Rising costs are the main driver. A coffee now averages 1.29 euros, up 25 cents since 2021, while Altroconsumo found cornetto prices rose 13 percent between 2022 and 2024. FIPE deputy director general Luciano Sbraga argues the espresso price should rise further but that it is hard to do in Italy, where coffee is treated as a cheap product, creating a wide gap with other drinks such as tea at 3 or 4 euros. Pandemic-era remote work and home coffee machines have also cut daily visits. Milan's Pavé exemplifies the premium model, with small counters, table service, buttery French-style pastries and specialty coffee at 1.40 euros. Other bars, including Picchio in via Melzo and Varisco near Centrale, stay open until 10pm or midnight with aperitivo around 5 euros, though double shifts strain family-run businesses.