Oireachtas Joint and Select Committees

Wednesday, 17 November 2021

Joint Oireachtas Committee on Jobs, Enterprise and Innovation

Impact of the Withdrawal of Covid-19 Measures on Business: Discussion

Photo of Ollie CroweOllie Crowe (Fianna Fail)
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I have three points to which I would like Mr. Hughes to respond. The first of them relates to the skilled staff shortages - for example, the shortage of chefs - that have been spoken about in the hospitality sector. The two issues in this respect are the red tape for the employees themselves and the costs to the employer. What is the Department doing to process this more quickly? What help is the Department giving to both employees and employers?

As we are all aware, most European countries are using a 9% VAT rate in the hospitality sector. Our rate is due to go back up to 13.5%. I am conscious that this in the remit of the Department of Finance, but I would still appreciate comments from Mr. Hughes from the Department of Enterprise, Trade and Employment. Such an increase would put us at a serious disadvantage by comparison with our competitors in these markets.

Finally, an increase of €103 million has been provided for the budget for 2022. What is the Department’s intention in relation to the prioritisation of this significant increase in funding?