Matt Shanahan (Waterford, Independent) | Oireachtas source

I will not go over all the points that other speakers have already made. Brexit remains a very significant challenge for this country. The sounds coming from Europe today do not bode well. This particular provision of the omnibus Bill is a retrograde step in the context of the challenges of Brexit, particularly for my city and county of Waterford and the whole south-east region. We are very exposed to all of the issues arising out of Brexit. The region is an exporter in the agri-food area and it has supply chains that are heavily embedded in the UK. That will give rise to significant difficulties after Brexit in terms of customs and all of that.

The provision under this section of the Bill will, in effect, largely curtail and strangle the cost benefit for foreign travellers of making purchases when they come to Ireland. In my city, for example, Waterford Crystal estimates that 60% of its foreign tourism sales will be affected by Brexit. That is a huge figure for an industry that is already feeling the effects of international competition. The Waterford Treasures Medieval Museum has a significant number of overseas visitors every year who purchase mementos and souvenirs. All of that will be affected by this provision. Waterford city has businesses like Kite Design Studios and a number of jewellery makers which rely on transactions where people are spending €20, €30 or €40. Their business will be significantly impacted.

I cannot understand why this provision is being introduced. I brought it up with the Taoiseach this morning and asked about the direction and thinking behind it. Has the Government met with people in industry to look at other ways of achieving the security we need? I understand the Government view is that there is a likelihood of abuse if a threshold is not put in place. The initial limit of €175 was very strong but the new threshold of €75 will have much the same effect. We need to do something about this. I implore the Government to speak to industry leads in the retail sector to see what other provisions might be made. There must be an ability to implement additional measures that will address the risk of tourists abusing the situation. The message must go out that we need to support indigenous business, particularly in the craft, tourism and hospitality sectors. This provision is a retrograde step and I join previous speakers in asking the Government to rethink it and find a different solution. The current proposal is not a solution but a grave error.

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