asked the Minister for Transport and Power if his attention has been drawn to a recent announcement that hotel prices are to be increased by 11 per cent; and, if so, whether in view of the serious repercussions this price increase will have on the tourist industry he proposes to take any steps to ensure that hotel prices will remain at a competitive level.
Ceisteanna—Questions. Oral Answers. - Hotel Prices.
7.
I have seen press reports about a proposed increase in hotel prices next year. I am informed by Bord Fáilte that they had no prior notification of the increases referred to in the reports.
Maximum prices for accommodation and table d'hôte meals in hotels are set out in the Official Hotel Guide published annually by Bord Fáilte. Hoteliers submit to Bord Fáilte in early October each year their prices for the following year. These prices are determined by individual hoteliers and the approval of Bord Fáilte is not necessary for them. Once the prices have been submitted to Bord Fáilte and published in the guide, they may not be exceeded during the year to which they apply without the express consent of the board.
As in the case of other industries, the hotel business at home and abroad is confronted with increased costs. I am sure that in their own interest and in the interest of Irish tourism hoteliers here will exercise as much restraint as possible in deciding on price levels for the coming year and will endeavour to absorb increased costs by improvements in productivity so as to maintain their competitive position.
The Minister for Industry and Commerce will be dealing with price control aspects of the matter in a later reply.
Will the Minister say whether, when he met the hoteliers' federation ten days ago and at his subsequent meeting with Bord Fáilte, the question of hotel prices was discussed? If so, did the Minister convey his views to the hoteliers' federation?
I did. This action was not taken by the hoteliers' federation, nor was it taken by the hotel industry generally. It was taken by a limited number of unionised hotels in the Dublin and Dún Laoghaire areas. Even at that, it was not taken by all the unionised hotels in those areas.
While the Minister advises the hotels to show restraint in so far as prices are concerned, will he convey the same advice to the Minister for Finance and to the members of the Government with regard to the prices of things which are attractive to tourists coming into this country, such as drink and petrol?
That is a separate question.
It is not. This is all concerned with the tourist industry.
If Deputy Corish wants to engage in an exercise in restraint in regard to all elements in our society, much of the restraint is very pertinent to people whom Deputy Corish represents.
Would the Minister explain what exactly he meant by "unionised hotels"?
I spoke directly to the Minister and to the Minister for Finance with regard to the deliberate increases which they have caused in the prices of these things which attract tourists to this country.
People other than the Government and hoteliers have also contributed substantially to the increased costs.
Would the Minister care to explain what exactly he meant by unionised hotels? Is he suggesting that certain hotels whose staffs are organised trade unionists are making demands that are not being made by hotels that have not organised employees?
I am suggesting nothing of the sort. I am merely stating the facts. I am saying that the increases were announced by a number of hotels in the Dublin and Dún Laoghaire area which are unionised hotels and that outside this particular category no such announcements, either in Dublin or elsewhere, have been made. Indeed, some unionised hotels in the Dublin and Dún Laoghaire area have not subscribed to this particular increase.
(Interruptions.)
Why the use of the word "unionised"? It is put in for a particular purpose.
Would the Deputy suggest another adjective that I might use?
The Minister could say simply hotels.
It is a shirking of responsibility.
Greedy is as good a word as any.