Marian Harkin (Sligo-Leitrim, Independent)
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I thank the Minister of State for coming in to take this matter. I wish to discuss with him the need for some type of support schemes or compensation measures to assist businesses and individuals dependant on seasonal tourism, in particular, where there is a very substantial reduction in available tourism accommodation, due to the fact that hotels and other accommodation providers are now providing accommodation for refugees. This, of course, has a significant impact on local businesses depending on tourists and visitors alike in the short and long term. While this issue impacts on a number of different places in my constituency and elsewhere, I raise it in the context of a meeting I attended earlier this week with my colleagues, Deputy MacSharry and the Minister of State, Deputy Feighan, in Rosses Point, County Sligo, on Monday last. As a follow-up to that meeting, Deputy MacSharry suggested tabling a Topical Issue matter. We agreed to do that.

I will be crystal clear. The tone and content of the meeting at Rosses Point was constructive and sought solutions. There was no blame game and no anti-refugee sentiment. In fact, it was the opposite. There was, however, a recognition that the impact of a huge increase in the population of Rosses Point and the consequent impact on all public services, as well as the loss of significant numbers of beds for the upcoming tourism season, must be managed for the community, businesses and refugees. As one man at the meeting said, if the situation were reversed, he would not want to be stuck in a hotel in Ukraine.

It is in that context and framework of seeking solutions and managing the situation that I will mention the broader need for accelerated and co-ordinated action, first, to appoint a dedicated community liaison officer to help ensure integration of new arrivals in the area, second, to increase bus capacity to and from Rosses Point, especially at peak times and school times and, third, increase policing in the peninsula to help ensure security for all. I will tease out the final issue a little more. This is the need to appoint a dedicated tourism officer to address the loss of revenue to local, tourism-dependent businesses. It is important to remember that those businesses employ people, support the fabric of Rosses Point, and pay taxes and rates to maintain the area. If they close or downsize, the impact is felt throughout the community.

I ask the Minister of State to consider some Covid-type supports for businesses that are interdependent on tourism accommodation. We are speaking of restaurants, bars, and businesses involving maritime or other leisure activities. Approximately 25% of the tourism accommodation outside Dublin is now devoted to housing refugees. In some places, such as Rosses Point, the figure is much higher. Is there any possibility of some kind of support scheme specifically for those businesses where it can be shown that the impact is substantial? It is not just support schemes for loss of income. It is also about greater marketing for areas that are worst affected. That is where a dedicated tourism officer could help to support business.

The first stage was helping to house refugees. I am fully supportive of that, as are the people who attended that meeting. The next stage is to support both communities and refugees. We are now at the next stage. I want to hear what plans the Government has in place for that.

Thomas Byrne (Meath East, Fianna Fail)
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The Deputy raised the issue of support schemes and compensation measures to help businesses and individuals that are dependent on seasonal tourism, which could be adversely affected by the reduction in capacity available this season due to hotels and other tourism accommodation being used to house international asylum seekers and Ukrainian people fleeing war. I thank her for relaying the constructive tone of the meeting at Rosses Point and the constructive tone also shown by her and Deputies Feighan and MacSharry.

We are approaching the first anniversary of the start of the war in Ukraine. Since then, the people of Ireland have welcomed more than 90,000 people between those fleeing that war in Ukraine and other applicants for international protection. This is, by some distance, the largest humanitarian operation ever undertaken by the State and the Irish people, and tourism accommodation has played a highly significant role in the national response to the crisis. This has placed a strain on the availability of tourism accommodation, with knock-on impacts for other tourism businesses and businesses in the wider local economy.

Officials in the Department with responsibility for tourism are engaging with a range of Departments, with input from Fáilte Ireland, to consider how best to mitigate the potential impacts on the wider tourism ecosystem of the long-term use of tourism accommodation. Analysis is being done in those towns or areas most impacted by the unavailability of tourism accommodation.

In addition, I can confirm the Government has approved the construction of 700 rapid-build homes with the potential to house up to 2,800 individuals in family units. These rapid-build homes will be constructed on State-owned land. The OPW is leading this in conjunction with the Department of Children, Equality, Disability, Integration and Youth. The objective is to install 500 units by March or April of this year.

The strong early recovery of inbound tourism to Ireland last year was very welcome but it is fair to say that the tourism industry faces a number of challenges this year. The combination of increasing interest rates in all major economies, rising energy and food prices and the growing prospects of global recession are major threats to the recovery of international tourism for 2023.

In Ireland hotel capacity, energy costs and labour shortages will continue to challenge the tourism industry. In budget 2023 the Minister, Deputy Catherine Martin, who apologises for not being here, secured €15 million in additional funding for overseas marketing of Ireland. As global competition heightens, sustaining extensive marketing campaigns will be vital to support the ongoing recovery effort, building on the initial inbound tourism demand seen in 2022.

The budget also contains an additional €15 million for a range of industry initiatives, including a continuation of the investment in skills development and retention, which is €3 million. This provision will facilitate the continuation of work with Fáilte Ireland to address the employment challenges faced by tourism businesses in attracting talent, helping skills development and retaining staff. There is a €2 million increase in funding for domestic marketing to promote Ireland's tourism offering to Irish holidaymakers. The Minister also secured additional funding of €3 million to allow Fáilte Ireland to continue its work in the area of sustainability.

Tourism agencies are working hard to help those in the tourism sector. Tourism Ireland will roll out an extensive and targeted programme of activity in 2023 with a total marketing budget of €78 million. A wide range of promotional activities will be undertaken, including a new global marketing campaign, publicity and programming as well as working with tourism industries at home and overseas to facilitate the sales. Fáilte Ireland will announce plans shortly for work in the area of recruitment and retention of staff and sustainability.

The temporary business energy support scheme, TBESS, which is designed to help businesses to cover their energy costs in the winter months, will run until 28 February. The Government is looking at reviewing the operation of the scheme. The Minister has received extensive feedback from the tourism sector, in written form and in person at the hospitality and tourism forum that she co-chairs. She is also aware that the 9% VAT rate is to the forefront of tourism businesses and individuals at present. A strong message was taken away from the recent hospitality and tourism forum meeting on the need to ensure there is no cliff edge with regard to the supports that have already been put in place. The Minister will continue with her regular interaction with Government colleagues to communicate the concerns of the industry about the long-term effect these issues could potentially have on the tourism sector.

Marian Harkin (Sligo-Leitrim, Independent)
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I thank the Minister of State. There is still a lot of goodwill out there and it is crucial that we harness it. The people best placed to harness it are the Government in the decisions it makes and local Deputies and politicians in trying to support communities. We have to make sure it happens and it is real in order that when people get up tomorrow and the day after they can see it is happening. This is in the context of extra public services such as transport.

I am specifically asking about supports for business. I heard what the Minister of State said about a higher budget for marketing. That is good but we also need to look at those areas that are hardest hit and there are a number of them. We need to focus on some of them. Rosses Point is not the only one in my constituency but it is the one I am discussing this evening. One person at the meeting said people need to know that Rosses Point is open for business. The only way this can happen is if we have specifically focused marketing actions to make sure people have that message.

The Minister of State mentioned the TBESS. Of course all businesses get that. It is in the context of the escalating cost of energy. We need something more focused than this. That scheme is for everybody but we have to recognise the specific issues I am speaking about. I hope the 9% VAT rate will be maintained. This is important for businesses and I hope there is no cliff edge.

I speak, as does the Minister of State, to many people about this issue. People are willing to help and want to help. One man from the RNLI spoke about the fact there are several hundred people who have never seen the sea and do not know there are dangerous currents. From such a simple issue as this to supporting businesses, communities need to know we are on their side.

Thomas Byrne (Meath East, Fianna Fail)
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I thank Deputy Harkin for raising the issue. I thank her and her colleagues for their relentless advocacy of tourism and business in Sligo and for the constructive approach they have taken on this. I am fully aware of the beautiful tourist sites in Sligo. Deputy Harkin mentioned Rosses Point in particular but she is right to say there are many others, including Knocknarea, Lough Gara and Enniscrone. I am a regular in Yeats country. There is also Mullaghmore and other beautiful places.

The Minister, Deputy Catherine Martin, is acutely conscious of the importance of the tourism sector, particularly on a regional basis. Tourism accommodation has a significant multiplier effect for other businesses in the wider area. The war in Ukraine, combined with the very high number of applicants for international protection, puts real pressure on the Government's ability to offer humanitarian accommodation. The people of Ireland have never seen so many arrive in such a short timeframe. We have welcomed the equivalent of the city of Galway in less than a year. The country has done a tremendous job collectively in doing what is the right thing but we are left dealing with the consequences of it and we trying to do it in the best possible way. Irish people have sought shelter and opportunities abroad and Ireland has a long tradition over history of helping nations in trouble. It is the right thing to do. The Department of Children, Equality, Disability, Integration and Youth is availing of the wide range of offers of accommodation made to it. The Government is focused on continuing the support for those fleeing the war. It has agreed that there should be a move away from an emergency response to a more mainstreamed approach, including reduced reliance on serviced accommodation. There is now an increased focus on rapid-build housing and a new call for vacant homes led by local authorities.

The Minister consistently engages with, and takes on board, the views of the hospitality and tourism sectors, particularly with regard to the need to avoid a cliff edge and the supports that are needed. She continues to do so and she will take careful note of the comments that Deputy Harkin has made. I am very grateful for them.