The Irish Hotels Federation (IHF) has welcomed the commitment in the proposed programme for Government to bring forward measures to support SMEs within the hospitality sector, including in relation to VAT. IHF President Michael Magner says: “A decision to reduce the rate of VAT for food service businesses would be a very welcome development. It would greatly assist the many vulnerable food-led businesses that have faced an uncertain future and escalating cost challenges in recent years.”
“This would be an important step toward putting these businesses on a more stable footing,” adds Mr Magner. “We see enormous opportunities for further development of tourism and hospitality as a major engine for growth and economic prosperity the length and breadth of the country. With the right policies and a positive businesses environment, we believe tourism and hospitality has a bright future ahead.”
As Ireland’s largest indigenous employer, a vibrant and thriving tourism and hospitality industry is vital for the country’s economic well-being:
Over €2.3bn in taxes generated annually for the State by tourism-related activity
270,000 livelihoods supported by Irish tourism & hospitality
Regional employment – some 70% of tourism & hospitality jobs are outside of Dublin
€10bn in revenue generated by tourism annually for the economy
