Cafés and Restaurants in Lithuania Face Widespread Closures

In Lithuania, a wave of bankruptcies is sweeping through the hospitality sector. During the first six months of 2025 alone, forty-eight establishments have shut their doors, marking nearly twice as many closures compared to the same period last year.

Local media reports indicate that this surge in insolvencies has predominantly affected coffee shops and cafés in Vilnius, Kaunas, and Mariampol. The primary reasons cited include rising food prices and an increase in VAT, which have dealt a heavy blow to small business owners and entrepreneurs across the country.