Written answers

Wednesday, 1 June 2011

Department of Transport, Tourism and Sport

Tourism Industry

9:00 pm

Photo of Tommy BroughanTommy Broughan (Dublin North East, Labour)
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Question 217: To ask the Minister for Transport, Tourism and Sport if negotiations have taken place with airlines (details supplied) to establish their response, in terms of additional passengers and flights to and from Irish airports, to the proposed abolition of the travel tax; if he will use the earlier Dutch analysis used by companies in opposing the tax to measure the same companies' delivery of new routes and passengers; and if he will make a statement on the matter. [13883/11]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
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As part of the recent Jobs Initiative, the Government announced a three-pronged strategy to encourage inbound tourism. The first element is the proposed suspension of the air travel tax, the second is a new growth incentive scheme which has been introduced by the Dublin Airport Authority and the third is more targeted co-operative marketing of new routes from key source tourism markets by Tourism Ireland, Dublin Airport Authority and the airlines to encourage more tourists to fly into Ireland. My officials and I have engaged with the Dublin Airport Authority and with the four main Irish airlines about these initiatives and I have also written to all of the other airlines operating services to and from the State airports. The discussions with the airlines are continuing.

The Finance (No .2) Bill is being debated in the House this week and will make legislative provision for the suspension of the air travel tax. I have made it absolutely clear in my engagement with the airlines that the Government is only prepared to commence this provision if the airlines demonstrate a willingness to respond positively to these initiatives. The Dublin Airport Authority is actively engaged in discussions with the airlines in relation to the growth incentive scheme and is also ensuring that the airlines are fully aware of the Government 's position that the travel tax will only be abolished when the airlines commit to deliver more tourists to Ireland. This position will continue to be reviewed in the context of traffic performance in the current year as well as stated plans by airlines for growth in future years.

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