Dáil debates

Wednesday, 16 October 2024

VAT Rate for Hospitality Sector: Motion [Private Members]

 

11:30 am

Photo of Violet-Anne WynneViolet-Anne Wynne (Clare, Independent) | Oireachtas source

The hospitality sector in Clare has been speaking and highlighting its struggles for the past number of months now. I pay tribute to Maurice Walsh and Michael Vaughan for doing exactly that. They have said that they are facing an Armageddon this winter if the Government does not respond to their loud pleas. We know that Shannon Airport has been doing fantastic and its passenger numbers are up but although still in June and July we had an extra 1.3 million visitors to the region according to the Fáilte Ireland tourism barometer, some 33% of businesses had fewer customers.

This summer, it is also interesting to note, was the coldest summer we have had since 2015 and one in five tourism beds in Clare are being used for housing accommodation. Some four in ten businesses have referred to this severely impacting their turnover.

Some 600 businesses have gone in the past year and I also pay tribute to the youth who would be the most dependent on this kind of employment, especially in the hospitality sector in Clare also. They have felt the brunt of the closures and it has really impacted them in going back to university this September. I pay tribute to those students.

We also want to highlight this call for the reduction of the VAT rate. I have been very much on this issue and have raised it a number of times. It has been costed and massive amounts of money have been discussed in response to parliamentary questions as to how much it would cost the State. In respect of those who are working in the industry who feel no hope, it is definitely worth doing and there is a need to reduce the VAT rate. Gabhaim buíochas.

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