30-06-2025
Trattoria Mediterranea Sydney closing down: Restaurant owner's message for Australia
A popular Sydney restaurant that once buzzed with bookings is now closing its doors, as its owners warn that Australia's economy is crumbling and small businesses are paying the price.
Chef Simone Crivello and partner Isobel Galloway opened Italian restaurant Zafferano Trattoria Mediterranea in March 2021.
The restaurant, located on South Dowling Street in Paddington in Sydney's inner-east, was a bustling spot for locals to dine but now struggles to fill even a few tables and has been forced to close down.
' Sydney, what happened to you? This used to be one of the most vibrant cities in the world,' Ms Galloway said.
'Our restaurant was once full, bookings every night, laughter echoing through the walls, and food made with soul. Now, we're lucky if a few tables fill.
'It's not just us, it's all around. Small businesses are dying in silence while rent climbs, costs soar, and politicians pretend everything is fine.'
Ms Galloway claimed restaurants were struggling because Australia was in a recession and that the country's economy was rapidly declining.
'We're in a recession, whether they want to say it or not. People can't afford to go out,' Ms Galloway said.
'Families are struggling, and somehow the government still acts like this is just a phase, but it's not. It's the reality they helped create.
'The economy is tanking, and the people who built this city, the chefs, the creatives, the small business owners, we're the ones paying the price.'
She explained the restaurant would be closing down soon, not because she and her partner had failed but rather 'the system' had let them down.
'So before we go - ask yourself this. Where are you spending your money? Who are you choosing to support? And what kind of city do you want to live in?.'
'Without small businesses, culture dies, community dies, and all that's left is soulless chains and boarded up shop fronts. This isn't just a goodbye, it's a wake up call,' Ms Galloway said.
Ms Galloway added Sydney was 'left to crumble' because people in power had 'looked the other way' while small businesses struggled.
She explained small businesses were closing down one-by-one burdened by the cost of living crisis.
'No one's calling out the cost of living crisis that's killing community, culture, and creativity,' Ms Galloway said.
'If you love your city... support the people who built it. Choose local. Speak up. Share this. If we don't fight for what matters there won't be anything left to fight for.'
Many Aussies praised Ms Galloway for sharing the struggles she was facing with the restaurant, claiming many other small businesses were also feeling the crunch.
'100 per cent agree, we have been in a recession for about two years now. Whoever voted labor back in… well done on helping crippling small business,' one person wrote.
'Thank you for being open and brave about this, it's tough conversations and tough decisions for owners and we feel it too,' a second person commented.
'Finally someone being honest and transparent about what's really going on!! Small business need support and some tax breaks to help keep the culture alive,' a third person chimed.
A fourth added: 'Sydney we hear you and here Melbourne echoes the same sentiment'.
Others wrote Sydneysiders had stopped dining out because their income was being used for rent, mortgages, groceries and bills.
'Unfortunately, very little is left over for luxuries like dining out,' one person commented.
Another added inflation had also put pressure on the hospitality industry which in turn resulted in higher prices for meals - prices the average Australian can't afford.
'For the restaurant it means their cost to put that $33 plate of pasta on the table rose 40 per cent since Covid and for the consumer it means the cost to buy it probably rose 20 per cent,' one person wrote.
'Think about that inflation across everything in the economy from health insurance, petrol, electricity, it goes on and on and on but at the end of the day people have less to spend so they spend less. The less people spend, the more businesses that fail.'
In 2023-24, 11,049 businesses went into external administration.
This represents a frightening milestone: it's the highest number of business failures since the Australian Securities and Investments Commission began collecting and publishing insolvency data in 1999.
Shadow treasurer Angus Taylor said home-grown inflation and multi-employer bargaining were to blame for the insolvency crisis.
'Small businesses are suffering because of soaring energy costs, bad workplace laws, rising costs and excessive red and green tape,' he told Daily Mail Australia.
'This is the result of a government with the wrong priorities and no interest in Australian small businesses.'
