Martin Conway (Fine Gael)

I welcome the Minister to the House and I thank him for taking this matter. I was surprised when I was contacted by representatives of surfing groups recently to point out that the 23% VAT rate applied to surfing lessons. Despite my limited knowledge of surfing, I was surprised to learn that. They made the case that given surfing lessons are primarily taken by local children and tourists, the 9% VAT rate would be more appropriate and I am inclined to agree with them. The Government has made significant progress with the tourism jobs initiative that was introduced last July and it had an instant effect in breathing confidence into the tourism sector. Like the Cathaoirleach, I represent a coastal county and surfing has evolved, particularly over the past decade. We now have a situation in many of our towns, from Donegal to Cork and Waterford, whereby visitors come to surf not only during summer months but also in the depths of winter. Surfing is an activity that provides significant additional value to the economy and it continues to offer considerable potential for growth. The number of young people who express interest in learning how to surf is increasing. Unfortunately, however, the cost of the activity is becoming prohibitive. If the Government introduced a provision in the Finance Bill to reduce the VAT rate on surf lessons from 23% to 9%, another small step could be taken towards offering an overall tourism product.

As our unique climate means we cannot be weather dependent, we must develop a product that attracts families to the coast in all weather conditions. There has been significant investment in indoor facilities. In my constituency alone, over €100 million has been invested in indoor facilities over the past several years. We have also seen what I describe as healthy investment in nature walks. My own area of the Burren has secured investments in the order of €100,000 to upgrade walks to attract hikers.

My proposal would send a clear message that the Government is prepared to invest in surfing. The facilities provided to surfers are modest. Most beaches do not even have shower facilities and anybody who is familiar with surfing will be aware of the importance of washing wetsuits after they are used. I do not propose that the VAT reduction should extend to surf equipment, whether surf boards or wetsuits. One surf operator in my area who previously employed three full-time and five or six part-time instructors has had to reduce his staffing to three or four part-time instructors alongside his own role as a full-time instructor. In light of the potential direct benefits in terms of employment, I hope the Minister will have good news from the Department of Finance.