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Tourism Industry Issues

Dáil Éireann Debate, Thursday - 18 October 2012

Thursday, 18 October 2012

Questions (15, 47, 249)

Brian Stanley

Question:

15. Deputy Brian Stanley asked the Minister for Transport, Tourism and Sport in view of the fact that the National Recovery Plan 2010 explicitly recognises the tourist industry as labour intensive, his plans to maximise job opportunities and foreign revenue earnings in the sector; and if he will make a statement on the matter. [45127/12]

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Bernard Durkan

Question:

47. Deputy Bernard J. Durkan asked the Minister for Transport, Tourism and Sport the extent to which he and his Department have monitored trends and issues affecting the tourism sector in the current year; if he will set out the most salient issues affecting the industry, negatively or positively; if he has in mind any particular or specific proposals to address the issues of competitiveness, costs or other issues with particular reference to maximising the number of jobs in the sector; and if he will make a statement on the matter. [45160/12]

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Bernard Durkan

Question:

249. Deputy Bernard J. Durkan asked the Minister for Transport, Tourism and Sport the likelihood of increased employment arising from expansion of business in the hotel and catering sector in the coming year; and if he will make a statement on the matter. [45521/12]

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Written answers

I propose to take Questions Nos. 15, 47 and 249 together.

The Government believes that Tourism and Hospitality is a key sector that will contribute to Ireland's economic recovery. Up to 180,000 people are employed in the industry and total tourism revenues in 2011 are estimated at €5.5 billion. That is why - despite our enormous national financial difficulties - the Government continues to deploy a range of programmes and measures to support the sector and to enhance competitiveness and to maintain our marketing drive at home and overseas. I remain in regular contact with major stakeholders in the tourism sector and am kept advised on trends and issues of concern to the industry.  

As demonstrated by last year's Jobs Initiative and the Government's Action Plan for Jobs 2012, the Government recognises the vital contribution of tourism to employment.  The VAT reduction on a range of tourism services from 13.5% to 9% enhances the competitiveness of our tourism product and this lower rate of VAT will continue through 2013.  In addition, the Visa Waiver Scheme is encouraging visitors from emerging markets to add Ireland to a trip to the UK, and the halving of employers’ PRSI for those on modest wages has significantly reduced the cost of employing people.  

The measures put in place to support tourism helped to contribute to growth of almost 8% in visitor numbers in 2011.  In addition, the CSO Quarterly National Household Survey shows that 6,300 more people were employed in accommodation and food services in the second quarter of this year compared to the same quarter in 2011 and 10,600 more people compared to the first quarter in 2011.

The Gathering Ireland 2013 has the potential to provide enhanced business opportunities and to give a further lift to growth next year.  A great deal of time and energy has been invested in putting structures and resources in place to give this ambitious initiative every chance of being successful. 

 

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