Dáil debates

Wednesday, 24 November 2010

3:00 pm

Photo of Mary HanafinMary Hanafin (Dún Laoghaire, Fianna Fail)

The tourism renewal group, tourism renewal implementation group and forum of major tourism businesses, which was attended by all the major airlines and was organised by me, all recommended the abolition of the air travel tax. This view must, therefore, be taken seriously. I am concerned that the tax is having a serious impact on tourism. In light of the many other factors which came into play this year, it is not possible to ascertain whether the air travel tax was a particular disincentive to people travelling to Ireland. What worries me more is that the airlines have indicated that the tax affects their choice of routes. If we do not have international access, we cannot expect to attract tourists. For these reasons, an argument can be made for the abolition of the air travel tax.

On the other hand, the air travel tax is a source of significant income and will generate even greater income if the projected increase in tourism numbers materialises. Whether the figure is €80 million, €100 million or €120 million, it is very difficult to find sums of this magnitude by other means. This is the reason a debate is taking place on how the abolition of the tax would further contribute to the tourism industry.

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