The main representative organisation for Ireland’s domestic and inbound tourism and hospitality industry has expressed its disappointment in the measures contained in Budget 2025, calling it “a missed opportunity” to help the country’s largest indigenous industry.
The Irish Tourism Industry Confederation (ITIC) also said the few measures that have been offered to the industry will not go far enough in helping businesses grapple with ever mounting business costs.
ITIC chief executive, Eoghan O’Mara Walsh said: “The tourism industry is disappointed that the 9% VAT rate has not been restored; that would have been the most meaningful way to support the sector that is going through a challenging time.
“We need to look in more detail at the grant that has been announced. Our fear is, that – as per on previous occasions – there will be terms and conditions that will exclude many businesses that need the support. The grant amount also looks too small compared with the tsunami of costs that businesses are wrestling with.
“Although we welcome the increase in budgets for the tourism agencies, this looks like a missed opportunity by Government to help Ireland’s largest indigenous industry and biggest regional employer.”
ITIC’s reaction follows a similarly downbeat assessment of the Budget, by the Irish Hotels Federation (IHF).
IHF President, Michael Magner described the Budget as being “short-sighted” and containing “half-baked measures”, which will have “almost no impact”.
He said it falls far short of what is needed by the domestic and inbound tourism and hospitality sector and shows how out of touch the Government is with the real needs of the industry.
Mr Magner has also urged the Government to reassess its policy approach to Irish hospitality and tourism, “in order to stave off a growing commercial crisis within the sector, before it’s too late”.
