Dáil debates

Wednesday, 19 October 2016

National Tourism Development Authority (Amendment) Bill 2015: Report and Final Stages

 

7:45 pm

Photo of Patrick O'DonovanPatrick O'Donovan (Limerick County, Fine Gael) | Oireachtas source

I was very impressed with the Westmeath county manager and the plan he has in place. I know they are called CEOs now, but I will always call them county managers. Many other county managers could learn a great deal from the manner in which the Westmeath county manager has taken to the job. I refer, for example, to the development of a greenway across his own county and into County Longford. I believe bodies like local authorities, Leader groups and Fáilte Ireland have a key role in this regard. I know Fáilte Ireland is looking at the whole concept of branding. As I have said since I went into the Department of Transport, Tourism and Sport, I believe the focus in the corridor from east Donegal, in the Leas-Cheann Comhairle's constituency, to the outskirts of Cork city should be driven by local authorities.

I met representatives of the banks recently to discuss the ongoing investments in the tourism industry. I have also engaged with the County and City Management Association and with Fáilte Ireland regarding the part of the country where I see an obvious challenge. I agree with what Deputy Troy is saying in this regard because it affects my own county. The overall budget for tourism has been increased by €1 million. I know that is a small amount of money in the overall scale of the budget, but I am happy to get my hands on every amount of money I can. There will be a capital review in 2017. It has been brought forward. Fáilte Ireland will be calling for applications for the smaller-scale projects in the near future. I will give Deputy Troy the exact date when I get it.

I would like to mention some of the other tourism development measures that were introduced or sustained in last week's budget. The retention of the 9% VAT rate is of great importance in County Limerick as much as it is in County Westmeath. I know hoteliers, restaurateurs, publicans and others were anxious to ensure it was retained. We have not deviated from our approach to the travel tax. These significant investments, which were introduced by the last Government, have been maintained.

I agree with what Deputy Troy has said about this country's exposure to Brexit. As I said at the committee, Brexit and competitiveness are the two biggest issues facing this country's tourism industry. Perhaps stability could also be mentioned as a third issue. We will face challenges as the Brexit issue evolves over time. Officials from Tourism Ireland have told me about their plans to instigate intensive marketing campaigns in Britain to ensure people there view not just this jurisdiction but the whole island of Ireland - as opposed to, say, Scotland - as a place to go on holiday. As sterling continues to devalue, the package that is available in Scotland will become much more competitive than it was before now.

The challenge for us is to continue to advertise the unique quality we have here in Ireland, North and South. We must do this internationally through Tourism Ireland and nationally through Fáilte Ireland. It is clear from our engagement in recent months with representatives of bodies like the Irish Hotels Federation and the Restaurants Association of Ireland, and with tourism industry leaders through Fáilte Ireland, not only that they are acutely aware of the challenges that exist, but also that they are up to the challenge. I recently attended the Flavours of Ireland event in London, which was organised by Tourism Ireland and was purely designed to ensure we engage with the industry. Those involved in the industry will openly say that the pipeline into Ireland is very strong.

However, the major concerns of people in the industry relate to competitiveness and Brexit - Deputy Troy is quite right in that regard. I have spoken to representatives of the Irish Hotel Federation to ensure we get good value for money for people coming here as well as for "staycationers", namely, people who holiday at home. They represent an important market as well.

The Bill is technical in nature. It allows the Fáilte Ireland spending ceiling to rise, as Deputy Troy said. It also gives us an opportunity to discuss the tourism industry on Committee and Second Stages. However, the importance of the Bill lies not so much in the ceiling that will be raised when the Bill is eventually passed but rather to ensure appropriate capital funding for Fáilte Ireland for now and in the time to come. The authority is in the process of announcing major projects which will hopefully be vetted and allocated in the near future.

It is not simply about that alone. It is also about ensuring that the Department of Public Expenditure and Reform, the Government and the Oireachtas in general see tourism as an industry that has helped drag the country out of the mire. The policy document, People, Place and Policy, estimates that by 2025 over 250,000 people will be employed in the tourism and hospitality sectors. That figure is accepted by all parties in the House and I am of the view that it can be exceeded far sooner. It will be exceeded far sooner if we do the small things properly and get the basics right. That is why I agree with Deputy Troy.

I will get back to Deputy Troy before the end of the week on the exact timing involved and where we stand in respect of the specific issue on branding. I will also notify him of the date when the capital programme will be announced. As the Deputy quite rightly stated, it is not a decision for the Department because the process is at arm's length from the Department.

I am keen to make one point on branding. It is important that we work in an organised way, regardless of what we come up with for any given part of the country. I have a strongly held view on this matter and I believe local authorities are the key. Deputy Troy's part of the country has a great deal to offer. In fact, it is unique in terms of its offering. Local authorities have a role to play and that is why I have asked them to begin the process of developing, for 2017, county tourism strategies that will be reflective of the product in their counties. It cannot be all about the Department, Fáilte Ireland or the Oireachtas. City and county managers have a responsibility under the Local Government Act and they have to live up to it. I expect them to do so. I will challenge them in 2017 by asking every local authority to bring forward a tourism strategy for approval by the Department. If I believe a tourism strategy is sent to me as part of a box-ticking exercise, it will not be accepted by the Department. That strategy will be sent back and those responsible will be asked to do it again. I know this will not be the case in Deputy Troy's county of Westmeath, particularly in view of who is manager there.

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