Dáil debates

Thursday, 7 October 2021

Recovery of Tourism and Aviation: Statements

 

3:20 pm

Photo of Marian HarkinMarian Harkin (Sligo-Leitrim, Independent) | Oireachtas source

I am sharing time with Deputy McNamara.

A total of 70% of jobs in tourism and hospitality are located outside of Dublin. Somewhere between 15% and 18% of all enterprises in the north west are in the tourism and hospitality sector. In the context of a balance of development between the regions, support for this sector is vital. Last week, I spoke to B&B Ireland, which is based in Ballyshannon. It emphasised the need to maintain the 9% VAT rate until 2023 at least, although I think it should be permanent. That rate is important everywhere but it is crucial in Border areas. I fully support the organisation's call for the employment wage subsidy scheme to continue to June 2022 in a targeted way. B&B Ireland is appreciative of Government supports but emphasised it could take until 2024 before the sector is back on its feet.

The less said regarding the stay-and-spend scheme, the better. There was nothing in the July stimulus package. For the next six months, we will rely almost entirely on our national market, so we urgently need a substantial stimulus package for the hospitality sector in the forthcoming budget. This will help keep the industry afloat in the counties I represent, namely, Leitrim, Sligo, Roscommon and Donegal. It will help sustain initiatives such as the Sligo Food Trail and the Shed Distillery in Drumshanbo, which I will visit tomorrow.

Alignment of VAT rates with those in Northern Ireland is crucial for the coach industry. There are 1,800 small businesses here and they will not be back on their feet until 2023 at the earliest. Again, therefore, targeted supports are essential for the sector. If those supports are withdrawn before the sector gets off its knees, many businesses will fail.

Aviation, just like the coach industry, is still on its knees. Only sustained Government support can offer the lifeline it so badly needs. Inward tourism will collapse without it; we cannot let that happen.

Comments

No comments

Log in or join to post a public comment.