Written answers

Wednesday, 14 December 2022

Department of Culture, Heritage and the Gaeltacht

Tourism Policy

Photo of Cathal CroweCathal Crowe (Clare, Fianna Fail)
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72. To ask the Minister for Culture, Heritage and the Gaeltacht the actions that have been taken to support and strengthen the tourism sector since 27 June 2020; the priorities for 2023; and if she will make a statement on the matter. [62815/22]

Photo of Catherine MartinCatherine Martin (Dublin Rathdown, Green Party)
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Since the outbreak of Covid-19 in 2020, substantial supports have been provided to the tourism industry.

In 2020, a €10 million fund to help coach tourism businesses deal with the devastating impact of COVID-19 was launched together with a €10 million scheme for Ireland-based inbound agents. Other supports provided in 2020 were a €16 million Adaptation Fund to contribute to the costs of implementing Fáilte Ireland’sGuidelines for Re-Opening and an €8 million Restart Grant Plus Scheme for B&Bs which was funded by the then Department of Business, Enterprise and Innovation and administered by Fáilte Ireland.

In order to attract people back into public streets and spaces, particularly urban centres which were severely impacted by the pandemic, the Outdoor Dining Scheme and Fáilte Ireland’s Urban Animation Capital Investment Schemes were originally launched in early 2021.

Budget 2021 included €55 million for a dedicated Tourism Business Continuity Scheme to help strategic tourism businesses survive the pandemic and drive recovery.

In Budget 2022, the Government allocated €67.6 million in additional funding for tourism, thereby bringing the overall tourism services budget to €288 million. This included a further €50 million for Tourism Business Continuity and an additional €35 million allocated to the Tourism Marketing fund.

In line with a recommendation in the Tourism Recovery Plan, a reduced VAT 9% rate for the sector was introduced from 1 November 2020. Originally designed to apply until the end of 2021, the reduced rate was subsequently extended until 31 August 2022 and later to February 2023.

Tourism businesses have also benefitted from other horizontal supports such as the Temporary Business Energy Support Scheme (TBESS), the Pandemic Unemployment Payment (PUP) and debt warehousing.

In terms of priorities and international outlook for next year, as global tourism competition heightens, sustaining extensive marketing campaigns will be vital to support the ongoing recovery effort, building on the initial inbound tourism demand seen to date. In Budget 2023 I secured additional funding of €15 million for overseas marketing of Ireland and the development of The Invitation project. An additional €15 million will underpin a range of measures to support the sector including domestic marketing, transforming the digital capabilities of tourism businesses, boosting the industry’s recruitment and retention efforts, sustainable tourism initiatives, long-term investment in the US College Football Classic series, and the establishment of a register of short-term letting properties as part of the Government’s “Housing for All” reforms. The tourism agencies, Fáilte Ireland and Tourism Ireland, are currently finalising their Business Plans for 2023 to deliver on these and other measures.

Finally, I have initiated the development of a new national sustainable tourism policy that will seek to mainstream sustainability. The development of this new policy will involve extensive consultation with the tourism industry and our communities to help set out a path for the coming years which will support a sustainable recovery and subsequent growth in the sector. This new tourism policy, which I aim to publish in 2023, will seek to support sustainable development in communities throughout the country, whilst protecting our environment and natural resources, and with a greater spread of demand across the year.

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