Dáil debates

Thursday, 22 September 2011

National Tourism Development Authority (Amendment) Bill 2011: Second Stage

 

12:00 pm

Photo of Finian McGrathFinian McGrath (Dublin North Central, Independent)

I thank the Ceann Comhairle for the opportunity to speak on this new legislation. Before going into details, I also congratulate the Minister of State, Deputy Ring, on his promotion and wish him well and the best of luck when dealing with the issues relating to his important portfolio. I welcome both the National Tourism Development Authority (Amendment) Bill 2011 and, in particular, the broader debate on tourism and its considerable potential for development as a job creation strategy. Members must be more creative in respect of its two major aspects, however, namely, local home tourism and international visitors. In addition, the arts should be included as an important aspect of this debate. That sector constitutes a major resource on the international stage and the image of Ireland is highly positive in this regard. This area must be developed and the relevant audience targeted. In addition, the local population must be encouraged to support their neighbours and friends who are directly involved in the tourism industry, by which I mean restaurants, public houses, bed and breakfasts and small hotels. It is particularly important that as legislators and people who are in the public eye, Members commend and work hard to support the people who are directly involved in the tourism industry.

I holidayed at home this year in counties Wicklow and Kerry. I was again reminded at first hand of our country's beauty with its beautiful mountains, rivers, lakes and beaches. While we never will have the fantastic weather enjoyed elsewhere in Europe, this means we must develop alternative types of holidays. We also must monitor our cost base to avoid frightening off potential visitors. At the same time, quality and standards must be our focus to ensure that on visitors' return home, they tell other potential customers. Moreover, good manners and respect also are issues that must be discussed, and during the so-called Celtic tiger years, the great historical personal touch possessed by many Irish people may have been lost. During the Celtic tiger years, we went through a phase of being highly self-centred and, at times, not particularly nice to visitors.

The primary purpose of the Bill is to provide the statutory basis to allow the Minister for Transport, Tourism and Sport, with the consent of the Minister for Finance, to increase the aggregate level of advances that may be made to the National Tourism Development Authority out of the capital moneys provided by the Oireachtas for the purpose of supporting enterprises and projects related to the development of tourist traffic and the development of tourist facilities and services. In this regard, I welcome the plan to support enterprises and projects relating to tourist traffic. However, a common-sense approach is also required with a focus, as I noted earlier, on a quality service and job creation. On foot of the changes in the market economy and the advent of mass unemployment, this must be at the top of the tourism agenda. Only yesterday, I disagreed strongly with the Government decision regarding the development of the casino in County Tipperary.

If people have ideas to create jobs, we should take them seriously. People who attack those who want to gamble a few bob on a horse or showjumping event are out of touch with the vast majority of those who want to participate in such pastimes.

I congratulate the Dublin team, in particular Pat Gilroy. I was in St. Vincent's GAA club with the Sam Maguire and it was a fantastic night. There was a great celebration attended by hundreds of people. Young people got their photograph taken with Pat Gilroy, Paul Conlon and the rest of the squad. It brought a lot of people out on a Monday night in Marino. Small businesses, shops, and pubs gained from it and there was a great happy atmosphere. Sport is very important for tourism.

I left Croke Park last Sunday and went to Gaffney's in Fairview. It was like Italia 90, with people on the street having a drink and a chat. I spoke to some of the bar staff and found extra staff were taken on for the day. People forget that such events are also part of the tourism industry.

Another controversial issue which has arisen in the past few days is related to the tourism sector. I would love to see the country become an international centre for conflict resolution. With our history and recent past, in terms of the peace process, Ireland could become a hub for developing peace strategies internationally and human rights. We have learned from the mistakes in our history. Many people across the world in the middle of a conflict would love an independent, neutral country that is respectful of human rights, peace and justice to help them. Ireland could be a centre of excellence for conflict resolution.

During the debate on the presidential election an issue has arisen with the intervention of Martin McGuinness. We have to examine our mindset. The people in the Twenty-six Counties need to decide whether they accept the Good Friday Agreement and support democratic or inclusive politics. A section of the population does not seem to accept this. If Northern Unionists and Nationalists can swallow tough decisions why are some people in the Twenty-six Counties antagonistic? It is related to the tourism industry.

There is huge potential for people who have learnt from the hurt and conflict during the years to open an international centre. We need to examine the mindset reality of the situation. At all times we must be respectful of all the victims of the conflict in this country. We could use the model of the peace and reconciliation forum internationally. Instead of closing centres such as Glencree we should start inviting people to the country to see if we can assist them.

A number of Deputies mentioned Kilmainham Gaol which has huge potential. I visited it for over 20 years with many children and took the tour. It is another aspect of the industry.

I was pleasantly surprised to see camping is becoming very fashionable again for many families, in particular those with children between the ages of four and 12 years, despite the weather. Caravans and campsites have benefited from the recession as families have sought cheaper accommodation. The domestic market is expected to be strong and if the weather stays fine it could be developed. The Irish Caravanning and Camping Council said camping is becoming trendy again with families and together with the recession and good weather it could have a bumper season. It also said it was hopeful for a good domestic market this summer to make up for the loss of other tourists. It is a sector with potential.

There are other reasons to be positive about tourism. There is a general feeling the industry's performance is slowly starting to pick up following two extremely difficult years. The travel tax has been abolished, VAT has been reduced and improved roads and airports have made it easier for the industry to function. We should acknowledge these positive developments. If somebody tries to do something about VAT or the travel tax we should not be afraid to commend him or her. There is room for optimism about developing the tourism sector.

We have to face issues such as accommodation, which is connected to the boom years. There is overcapacity in many areas. The biggest issue facing the accommodation sector is that there are too many beds for the available demand. Consequently, many hotels, especially those which are financed by NAMA or owned by banks, are slashing prices to a level with which it is impossible for other operators to compete. Bed and breakfast establishments face difficulties because they cannot cross-subsidise room revenue with bar and restaurant revenue as hotels can. I urge people to consider the problem. Such businesses employee two or three people to serve breakfast and clean linen. We often forget such jobs are part of the domestic economy.

When I talked to people in the tourism sector I found soaring fuel prices have squeezed margins. The transport sector has been hit particularly hard and there is a limit to what it can pass on to consumers in the current economic climate. Aer Lingus stated. "Rising fuel costs eat into the profits, so we need to find other ways to cut costs."

The Fáilte Ireland tourism barometer is a survey of tourism businesses designed to provide an insight into tourism performance for the year to date and the prospects for the remainder of the season. It has concerns about visitor levels in hotels, self-catering accommodation and golf clubs. One hears a lot of smart comments about golf clubs but they bring a lot of tourists into the country. People like to come to Ireland and play a game of golf.

We need to be very careful about our rivers and lakes and conscious of pollution. I have experience of fishing on Lough Derg in the Dromineer area in Tipperary. German tourists want clean lakes and rivers. There is a huge market in Germany for such tourism. Such visitors stay in bed and breakfasts and small local hotels, have a few drinks and spend a few bob. It is very important.

I note visitor levels for the year to date are reasonably good for hotels, with 43% reporting an increase. There was a 41% increase in self-catering numbers and 46% of golf clubs reported an increase in visitor volumes compared to 2010. There are signs that we can do something and be positive.

The Minister will be aware of an old friend of mine, Councillor Christy Hyland of Westport, who is very involved in the bed and breakfast trade and would say it is tough going at times. One in five bed and breakfasts is reporting increased visitor numbers but the majority, 59%, reported a decrease. We need to ensure we look after such persons and that they are supported in any way possible.

The key overseas market of Britain is not performing as well as we thought, something which we have had to address. We should not be afraid to encourage our families in England, Scotland and Wales to visit Ireland on their holidays. We should not forget the industry is not just about marketing brand Ireland but also developing the economy.

Many hotels and businesses in the tourism industry are labour-intensive, something which is important to consider. The industry employs low paid workers but if people are in the system, paying their taxes and making a contribution it is a positive thing which can be developed. I am reticent to use the phrase "turning the corner" because many people have used it in the past and it did not happen.

One way to turn the corner is by developing tourism. I mentioned the arts earlier, an area where we have an international brand that could be developed strongly. The brand is out there and we have quality artists and musicians on the international stage who will attract many people to the State.

Section 1 amends section 24(2) of the National Tourism Development Authority Act 2003 to provide that the aggregate level of advances that may be made to the authority out of the capital moneys provided by the Oireachtas for the purpose of supporting enterprises and projects relating to the development of tourist traffic and the development of tourist facilities and services is increased from €65 million to €150 million. We are talking about tourist facilities and services. There are no direct budgetary or financial implications in the proposals contained in the Bill. It is an enabling provision and the annual amount of capital expenditure by Fáilte Ireland will be determined in accordance with the normal budgetary process. There are no staffing implications.

Many good people work for Fáilte Ireland, but we need fresh ideas and people coming onto the pitch. One of my dreams would be to see the country become an international centre for conflict resolution. We should use the experience of the Good Friday Agreement and overcoming conflict on the island. I recently spoke to a group of Palestinians who visited Leinster House. From the welcome they got they knew the majority of the Irish people are supportive of assisting them to get the out of the mess they are in by starting their own state, in which I wish them well. They said they would love to come to Ireland if there was any potential for serious talks between themselves and the Israelis. When travelling abroad I hear people referring to our experience in that regard. The Government should consider making Ireland a hub for conflict resolution. We should have an international centre and bring in people from across the world, which would give a very positive image of the country.

I welcome the discussion on tourism. I look forward to being able to develop this process. I would like to see people from north and south of the Border develop an all-Ireland approach. When talking about Ireland we should not stop at the Border. We should encourage people to go to the North as well to see the beauty of the Ards Peninsula in County Down and all the way around to Derry. That will also facilitate the development of our own people and assist in bringing peace and reconciliation. There is nothing like going to stay in a home or hotel in another area which one might not normally visit. In the past 20 years I have learned in that regard. That is the kind of people politics we want on the island. I urge the Government to consider that. There are some magnificent parliamentarians in the Northern Ireland Assembly and in the Oireachtas. Some of them are working closely together and there is no reason not to focus on an all-Ireland strategy to develop tourism. Developing tourism will create jobs which will assist the country to get out of this economic mess.

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