Catherine Martin (Dublin Rathdown, Green Party) | Oireachtas source

My position on the general issue of hotel pricing and, indeed, the wider value for money proposition within Irish tourism remains unchanged. While Ireland is not a low-cost destination, it is vital the sector keeps the value-for-money proposition to the fore across all its segments to ensure that our high quality reputation is maintained and that new and repeat visitors continue to come here. The long-term impacts of short-term thinking need to be carefully considered by all tourism businesses in setting their prices.

While there is fair value to be had in tourism accommodation, including hotels, around the country for much of the year, there are specific price spikes at specific times and locations, often coinciding with concerts and sporting events. These spikes, or compression events that occur when demand is highest, have the potential to cause reputational damage for the sector. I am advised by Fáilte Ireland that this is not necessarily representative of the wider hotel sector in general but, to bring some definitive facts to bear on the situation, I have asked Fáilte Ireland to commission independent research to better understand the potential scale and frequency of any pricing issues based on the best available empirical evidence with recommendations for actions arising, as appropriate.

While I have not specifically met the Irish Hotels Federation on this matter, I have raised the issue at a whole-of-sector level as recently as 28 June at the hospitality and tourism forum which I co-chair with the Minister for Enterprise, Trade and Employment. My officials continue to engage on an ongoing basis with Fáilte Ireland on a range of issues relating to the tourism sector, including potential concerns around pricing. The issue has also been discussed in detail by the Joint Oireachtas Committee on Tourism, Culture, Arts, Sport and Media at a number of hearings with the Irish Hotels Federation, the Irish Tourism Industry Confederation, Fáilte Ireland, and my own officials.

It is recognised that businesses, including hotels and others within tourism, continue to face significant cost pressures due to inflation and other economic factors. Rising costs however are not unique to the tourism industry and are a challenge for the wider economy. Businesses need to be able to make a sustainable trading margin but they must also pay attention to their pricing and how they can continue to deliver added value to ensure their long-term viability.

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