Dáil debates
Tuesday, 21 June 2022
Ceisteanna ar Sonraíodh Uain Dóibh - Priority Questions
Tourism Industry
9:30 pm
Imelda Munster (Louth, Sinn Fein) | Oireachtas source
People are comparing prices, whether it is European cities or coming to Ireland. They will see the vast difference and they will see that Ireland is no longer a value-for-money destination. In its submission to the committee last week the Irish Hotels Federation said - in black and white - that at weekends and on nights when there are major concerts or events "there are now more nights where occupancy in Dublin exceeds 90% and the last available rooms are quoted at rates in excess of the average [daily room rate]". That is an admission of price gouging, in black and white. The Minister has said she is concerned about international reputation. The Lonely Planet has just posted a very critical review on Ireland that refers to the "soaring costs", including for hotels, that are "wreaking havoc" with holiday makers' budgets. It is out there. This short-term greed is doing long-term damage.
It must be borne in mind that the hotel sector has received the continuance of the 9% reduction in the VAT rate. It was also flagged that other countries' hotels that are not playing ball and offering value for money are being separated from the 9% VAT rate. It is doable. Should these extortionate rates continue, which are multiples of increases that other European countries are offering, and if the rates continue to cause reputational damage as a value-for-money destination, will the Minister consider removing hotels from the reduced VAT rate if they do not start to offer value for money?
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