Minister Catherine Martin told a press conference that cafes and restaurants will be able to avail of the €10m fund for downstream businesses impacted by the amount of tourism accommodation displaced by government contracts.
Department officials said one the reasons why the 9pc vat rate was moved to 13.5pc is airlines are back to 104pc of seat capacity versus 2019.
Ms Martin said the allocated funds will be of great assistance to restaurants and other businesses in the sector, as well as the €250m fund to support rateable premises in the tourism and hospitality sector.
Denyse Campbell President of the Irish Hotels Federation said that “Irish tourism and hospitality has experienced unprecedented increases in operating costs over the last eighteen months. With no let-up in sight, cost inputs are continuing to rise right across all areas of business for hotels and guesthouses at a time when they are also dealing with a significant rise in interest rates.”
Adrian Cummins of the Restaurants Association of Ireland said Budget 2024 ‘fails to take meaningful action to support food-led businesses with the exorbitant energy costs they continue to face.’ Mr Cummins commented “airline seat capacity is up because Irish people are flocking to the Mediterranean for sun holidays post pandemic.”
Eoghan O’Mara Walsh released a tweet as to how many times tourism was mentioned in the Budget speech. The hospitality sector criticism of Budget 2024 continued in the wake of measures the sector said failed to sufficiently help rank-and-file firms.
