Ollie Crowe (Fianna Fail) | Oireachtas source

I thank the Tánaiste for his time. The Minister of State, Deputy Donohoe, advised during his budget 2023 speech that the reduced VAT rate of 9% for hospitality would be removed at the end of February as scheduled. It will then return to 13.5%, as we all know. Currently, businesses have a significant number of costs due to inflation and energy bills. Despite the substantial supports outlined in budget 2023 it is a very challenging time for these businesses, especially SMEs such as restaurants, bars and the hospitality sector generally. I have spoken to may business owners in Galway city and county that say the VAT returning to 13.5% is a very significant worry and will really challenge their sustainability because it obviously makes products more expensive for customers during a cost-of-living crisis. I recognise the lower VAT rate results in reduced revenue for the State but we must take every measure possible to ensure the viability of businesses. What is the Tánaiste's view on this?