But Grafton Street, and some of the rest of central Dublin, is falling victim to its own success, with high prices forcing the closure of many smaller businesses, which are then replaced by multinational chains or by estate agents.

It is not all bad news, though, and earlier this week Dublin City Council adopted a new set of planning guidelines in a bid to curb the spread of businesses which are now deemed not permissible . . .

for example, fast food outlets and mobile phone shops.

But can these guidelines slow down the decline of the independent retailers, who, by virtue of their diversity, give an urban centre its character, or do high rents and punitive rates spell the end of the Southside of the city centre as we know it?

There are still a few independent retailers and restaurateurs who are holding their own as Dublin transforms into any high street in any town in the US or UK. For example, Pinocchio's in the Westbury Mall is an unusual example of a craft-based shop which is trading off Grafton Street, despite the exodus of similar businesses to the suburbs.

"Shops like Pinocchio's should stay in close proximity to the city centre, " said Wyon Stansfeld, owner of Pinocchio's. "It is shops like this that make the city centre of Dublin, but it's what Dublin is starting to lose.

Independent retail is what gives the city its character, but Grafton Street has, to a large extent, lost this, and there are not enough exceptions."

Pinocchio's sells traditional toys, in many cases toys from a bygone era. It is a specialist shop, and as such, Stansfeld believes that the Westbury Mall is the right place for it . . . just off the high street . . . although this may not be possible for long if the rents, rates and services remain prohibitively high.

"In the long term . . . and I mean the distant future . . .

the likes of Grafton Street will bounce back, " he said.

"The reality of rents will normalise the situation, but whether than comes quickly enough for us is another matter."

While the shops will make up the daytime character of Dublin 2, it is the restaurants and bars that will shape its nightlife. Dublin 2 has the lion's share of quality restaurants, but even these are coming under pressure from international competition.

"It is 100% important to have quality, independent restaurants in the city centre, " said Kirsten Jane Batt, who, along with Sebastian Masi, has operated the Pearl Brasserie on Merrion Street for seven years. "It is a little village, where we are based, and restaurants like this give the village personality . . . it's our little baby, really."

After seven years of trading, the Pearl Brasserie is soon to undergo a major revamp, although the French menu, under the stewardship of Sebastian, will not change substantially. It will still use mostly French and Irish quality produce - although one change is that lunch will become a bigger feature of the offering from the Pearl Brasserie.

"We will try to keep our identity and our personality, " said Batt. "We may be undergoing a facelift, but our consistency will stay the same."

If only the same could be said for what is going on in the rest of the city.