John O'Donoghue (Kerry South, Fianna Fail)

I have already stated very clearly in the House, and particularly in response to Question No. 5 on 22 March 2005, my views on the tourism impact of price increases prior to or during major sporting and other events.

While excessive profiteering by a small segment of the sector around special events may be legal, it is not helpful to the reputation of any tourism destination. It may be capable of being rationalised from a narrow, short-term, economic perspective but it would be unfair to tar the entire sector with the same brush.

The reality is that we live in a free market and the tourism sector, just like other traders, is generally entitled to charge what it wishes. The problem is that Ireland tends to have a weak consumer culture. We tend to be reluctant to pursue complaints about price, service or quality, even when we have legitimate grounds for so doing.

There is no legislation specifically governing rates charged by accommodation providers. However, all hotels must be registered by Fáilte Ireland and they must display a notice stating their maximum prices. If consumers are charged more than the stated maximum, they should take it up with management. If they are then forced to pay more, and have evidence to prove it, they should report the matter to Fáilte Ireland, or its agents, who will take the matter up with the hotel concerned.

There is no legislation in place that prevents publicans from increasing their prices prior to or during an event. However, the Retail Price (Beverages in Licensed Premises) Display Order 1999 obliges all premises where alcohol is sold to display the price of alcohol and soft drinks both inside and outside the premises. This gives consumers the information they need to decide, in advance, whether to accept the prices displayed.

I have not discussed this issue with my colleague, the Minister for Enterprise, Trade and Employment. However, I am aware that the publication of the price surveys undertaken by the Director of Consumer Affairs, allied to increased consumer vigilance, has had some positive effects. The change in practice around the time of the rugby internationals in Lansdowne Road is a case in point. Last year, the Director of Consumer Affairs reported that only two out of 26 premises surveyed had raised their prices on the day of the match. This confirms my view that the best and ultimate regulator is the consumer and suggests that the extent of the practice of increasing drink prices around special events may be exaggerated at times.

I note the comments made by the Director of Consumer Affairs, in the case of the Kilkenny publicans, that "the fines imposed by the Judge totalled €1,300 while the total award in costs amounted to €2,400. It is extraordinary that all eight licensed premises failed to display their drinks price lists at the same time. It makes one wonder whether there was a concerted plan to raise prices during the festival." The director said that her office would continue to enforce the drinks display legislation, as this was a key entitlement of the customer who could then choose where to drink on the basis of value for money. These judgments should send a message to the trade that it must display its prices.

The Deputy might also note that my Department has taken the initiative of contacting the Director of Consumer Affairs, requesting that a special investigation be undertaken around the time of the Ryder Cup to ensure that price lists in restaurants and public houses are displayed prominently, and it has been informed that the appropriate checks will be carried out.

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