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Dáil Éireann debate -
Thursday, 10 Apr 1997

Vol. 477 No. 4

Written Answers. - Tourist Accommodation.

James Leonard

Question:

18 Mr. Leonard asked the Minister for Tourism and Trade the proposals, if any, he has to introduce grant aid for bed and breakfast and self-catering accommodation for regions where there is a lack of such facilities. [9034/97]

Peadar Clohessy

Question:

38 Mr. Clohessy asked the Minister for Tourism and Trade the policy initiatives, if any, he proposes taking to assist smaller tourism properties to be brought up to modern international standards; and if he will make a statement on the matter. [9357/97]

I propose to take Questions Nos. 18 and 38 together.

As I have indicated in response to previous similar questions, it has been policy for some time not to provide support for tourist accommodation projects, on the basis of the proven ability of the commercial accommodation sector to respond to growth in visitor numbers without grant assistance.

This approach incorporated into the Operational Programme for Tourism 1989-1993 agreed with the European Commission and by and large carried forward into the current operational programme. However, the current programme does make an exception in the case of a number of specific market segments where the quality of existing accommodation was recognised to be deficient. Hence, it includes a provision to assist on a selective basis, investments in such areas as accommodation-related conference and leisure facilities; a limited scheme of accommodation improvements to existing small and medium sized hotels with a current capacity of up to 100 bedrooms and graded up to and including three star; limited grant aid for certain specialist accommodation needs such as caravan and camping park facilities; upgrading and improvement of existing buildings for hostel or other specialist accommodation and associated facilities on branded walking routes; provision of new and improved accommodation at approved outdoor pursuits centres in remote areas currently without appropriate accommodation; improvement of existing accommodation at approved residential equestrian centres; horse-drawn caravan and motor-home investments; the additional cost of providing, in existing hotels, suitable access-friendly accommodation for people with disabilities; and improved access for people with disabilities at hotels and major visitor centres.
In keeping with the overall strategy in the programme, such support is aimed primarily at the enhancement of existing investment rather than supporting new development and all accommodation supported must be registered or approved, as appropriate. Already, all funds in this regard under the programme are fully committed. The programme is currently the subject of a mid-term evaluation, in line with the present mid-term review of all the Community Support Framework for Ireland (1994-1999), and the Deputy will appreciate that I am not in a position, at this stage, to anticipate its findings.
Other EU funded programmes which provide support for smaller tourism initiatives including accommodation are the Programme for Agriculture, Rural Development and Forestry and the Leader II programme administered by the Department of Agriculture, Food and Forestry and the local urban and rural development programme administered by the Department of Enterprise and Employment. In the Border counties limited assistance is also available under the IFI and INTERREG programmes and the Programme for Peace and Reconciliation.
Additionally, all registered and approved tourist accommodation was eligible for low interest loans under the access to finance scheme launched last September by the Minister for Enterprise and Employment. Some £52 million of this £208 million fund was specially earmarked for tourism projects throughout the country but the target was actually exceeded with the allocation of over £56 million, 27 per cent, of the fund to tourism. A similar scheme especially for the Border counties, was introduced under the Peace and Reconciliation Fund and all of it has now been committed.
Finally, investment in registered or approved tourist accommodation in any of the resort areas designated under the pilot tax relief scheme for certain resort areas may also qualify for generous tax reliefs under the scheme.
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