Oireachtas Joint and Select Committees

Wednesday, 29 March 2023

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

Challenges Facing Providers of Tourist Accommodation in Ireland: Discussion

Photo of Shane CassellsShane Cassells (Fianna Fail)
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Just on that point, I am well aware of the point Mr. O’Mara Walsh is making that the businesses would not been able to absorb the VAT increase and that it would have been passed on to the customer. However, he also made the point that prices will go up regardless of the fact that we kept VAT at the 9% rate and he does not believe that will have a detrimental impact on the sector. That is my point. He came in here six or seven weeks ago and argued the case that an inflationary measure by the Government would have an impact and now argues that individual choices within the sector to put up prices are okay. Those choice are not okay.

We made this point to the witnesses prior to Christmas when we talked about the fact that so many international customers are going to have their beds booked for Ireland this summer but the poor old sod that is going to get the impact of price increases is the Irish domestic tourist this summer. That is my point. That is my problem. When we come back here in the autumn and have another debate, it is going to make it extremely difficult for members of the sector to make that argument again on retention when it has been contradictory, in my mind, here today.