Oireachtas Joint and Select Committees

Wednesday, 7 December 2022

Joint Committee on Tourism, Culture, Arts, Sport And Media

Rising Cost of Tourist Accommodation: Discussion (Resumed)

Mr. Tim Fenn:

I guess it comes down to each individual business. In saying that, however, if businesses would normally have a 50% occupancy during the year and the average daily rate is €70, the chances are then they will take 100% occupancy with a figure that is perhaps twice that and provide this service. Many businesses in our industry are lifestyle at best. They are marginal. They do not make a great deal of money. It is partly almost like a vocation for the people running these businesses. When it comes to situations around challenges with pandemics and all sorts of other crises, people may not have the resources to keep the standards of the refurbishment in place etc. This may be an opportunity for people in that situation to put a bit of cash onto their balance sheets so they can upgrade and refurbish those properties when this is over. It is our hope that most of these businesses will, at that stage, when the demand for IPAS is gone, be in a position to repurpose and refurbish those properties and bring them back into the market.

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