Housing officials join campaign for tourist tax in Ireland

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  • Housing Minister James Browne has asked officials to assess the legislative implications of a visitor levy.
  • The proposed levy on hotel rooms could yield about €213m a year nationwide.
  • A University of Galway policy brief estimates each €1 nightly levy would raise about €44m annually.
  • A flat €5 per person per night charge would raise nearly €220m, with Dublin at about €46m, Cork at €18.5m and Galway at €8.2m.
  • Minister for Housing Darragh O’Brien has requested officials to examine the next structural steps.

Housing officials are advancing plans for a visitor accommodation levy across Irish cities. The proposed charge would apply to paid overnight stays in hotels, guesthouses, B&Bs and short-term rentals. University of Galway researchers estimate that each €1 of a nightly levy would raise about €44m annually, while a flat €5 per person per night charge would lift total local authority revenue to nearly €220m a year.

Under a €5 nightly model, Dublin City Council would raise approximately €46m annually, Cork €18.5m and Galway €8.2m. Minister for Housing Darragh O’Brien has requested housing officials to examine the next structural steps to implement the framework. Hospitality stakeholders have raised concerns about competitive pricing and visitor volumes.

Tourism taxes are common in European cities and broaden the tax base while easing funding pressure on municipal services, according to advocates. The measure remains at assessment stage, with advice due in the coming months. Housing officials have focused on legislative implications and local authority revenue collection.

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