A return to a 9% VAT rate for parts of the hospitality sector should be imposed as soon as the incoming Government takes office, according to events organiser, Paul Davis.
The CEO and founder of Davis Events Agency was speaking ahead of the publication today of a draft Programme for Government.
Reports suggest that some hospitality businesses will see the VAT drop once more from 13.5% to 9%, but the change won’t take effect until Budget 2026. Paul Davis says the reduction is a welcome move, but immediate implementation would be better:
“We’re looking forward to seeing the details of this plan, in particular we would like to see it include ticketed events, conferences and tourism activities, which would be of great benefit to our customers. Our main message would be that tourism, events and hospitality could really benefit from a cut in the VAT rate to help get through the 2025 season. It’s hard to understand why people would have to wait to feel that benefit next year when this reduction could really help to counter the current climate of rising costs.”