Michael Ring (Mayo, Fine Gael) | Oireachtas source

We want to support any event that takes place if it will bring people into the country. This year, we have The Gathering, which I hope the Deputy will encourage. The Gathering is not being led by the Government or Fáilte Ireland, it is community led. The people of the country have come in behind the initiative. Between 7,000 and 8,000 people turned up at public meetings on the initiative which took place nationally last year. Almost 3,500 events are planned for 2013. Those events will create a legacy for next year and the year after.

Deputy Ellis asked about VAT. We reduced the rate from 13.5% to 9% and there was a positive reaction. Customers will always give their reaction. They were happy to see that prices, particularly in Dublin, fell. Of course, there always will be people who do not pass on the benefit but hotelier and restaurant representative bodies encouraged their members to do so. The Deputy will have seen from my earlier reply that 180,000 were employed in the industry last year and that this number has increased now to 185,000. That is 5,000 jobs we did not have last year. It must be welcomed. Hotel and restaurant bodies encouraged their members and the public, as always, reacted. The public saw the menus and saw the reduction in prices. It was good. The cut was passed on. Businesses know this is only a temporary relief and we told them clearly that if it was not passed on, we would quickly put the rate back up. The reduction is in place until the end of 2013 and it has worked very well.

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