Michael McCarthy (Cork South West, Labour) | Oireachtas source

I concur with the sentiments that were previously eloquently expressed by the two Deputies to my left, Deputy Mattie McGrath and Deputy Healy-Rae, in welcoming the retention of the 9% VAT rate. That was an important initiative and is one that has worked well. For an economy that in many ways is struggling outside The Pale, it was very important in terms of tourism and tourism-related activities. It is no coincidence that tourism numbers are up. The reduced VAT rate was of critical importance to the industry which provides much needed jobs. That, in itself, was a welcome retention. I accept it created some difficulty in terms of finding an alternative source for the €300 million but I am pleased the Government paid heed to that particular campaign and retained the important 9% VAT rate.

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