Verona Murphy (Wexford, Independent) | Oireachtas source

I know it is part of the consideration. The Minister just accused Deputy Doherty of being a eurosceptic. Maybe he is one himself, given that the VAT rate for hospitality is lower in other European countries and most major European cities. It is only 7% in France and Germany. In destinations such as Portugal it is 6% and Greece it is 6.5%. Spain and Italy are at 10% and yet we persist with 13.5%.

I received an email from a concerned business owner who is a very reputable operator in the hospitality sector in Rosslare, who says that the Government's increases have cost his business €1 million a year. Apart from the VAT increase, there is the 12% increase in the minimum wage, changes in parental leave, an extra bank holiday, higher PRSI, and statutory sick leave, all of which have served to increase the wage bill.

On top of that, from yesterday, we now have auto-enrolment for pensions. The further cost burden being experienced by this person is a 15% rise in food costs. To be fair, waiting until the budget will mean it will be too late for many. More than 200 restaurants have already closed in recent months.

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