The Irish Travel Industry Confederation has welcomed the new programme for government as it appears to highlight tourism’s role within the “Growing Our Economy” section and reinforce its economic importance.
Key initiatives include the “Year of the Invitation,” aimed at boosting local tourism, a commitment to develop state-owned land for tourism, and a strategy to promote Ireland’s offshore islands.
The programme signals a review of the National Aviation Policy, the establishment of a Maritime Regeneration Development and Conservation Fund, and ongoing investment in the Regional Airports Programme.
Implicit in the proposals is a potential reduction in the VAT rate for the hospitality sector, aiming to alleviate cost pressures on small and medium enterprises, alongside broader measures for PRSI and other supports in future budgets.
Eoghan O’Mara Walsh CEO of ITIC shared: It is welcome that from the get-go on the contents page (p4) tourism is highlighted within the ‘Growing Our Economy’ section – it shows our case-making about tourism being treated as an economic engine has been heard
Although Departmental configurations aren’t mentioned there is a reference on page 15 to a ‘Department of Enterprise, Tourism and Employment’. This gives a clear idea as to where tourism is likely to sit after Government formation next Wednesday
IHF President Michael Magner shared: “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.”
“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.”
The agreement means that the 15 seats at Cabinet are likely to be split between FF (8) and FG (7) with 2 ‘super-junior’ Ministers also at cabinet meetings. This should lead to Government formation next Wednesday January 22 when the Ministers will be announced.
