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Tourism Industry Issues

Dáil Éireann Debate, Tuesday - 27 November 2012

Tuesday, 27 November 2012

Questions (114, 133, 751, 752)

Brendan Smith

Question:

114. Deputy Brendan Smith asked the Minister for Transport, Tourism and Sport the way he proposes to assist the hotel industry; and if he will make a statement on the matter. [52643/12]

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Michael McGrath

Question:

133. Deputy Michael McGrath asked the Minister for Transport, Tourism and Sport the action he will take to ensure a viable hotel industry; and if he will make a statement on the matter. [52655/12]

View answer

Bernard Durkan

Question:

751. Deputy Bernard J. Durkan asked the Minister for Transport, Tourism and Sport the extent to which he and his Department has regular interaction with stakeholders in the tourism sector with a view to identification of issues of concern; the extent to which he expects to be in a position to respond to any such issues such as credit availability or transport costs throughout the sector; and if he will make a statement on the matter. [53072/12]

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Bernard Durkan

Question:

752. Deputy Bernard J. Durkan asked the Minister for Transport, Tourism and Sport the extent to which he continues to have discussions with the hotel and catering sector with a view to addressing issues of concern; if he expects to be in a position to positively respond to issues arising in the coming year; and if he will make a statement on the matter. [53073/12]

View answer

Written answers

I propose to take Questions Nos. 114, 133, 751 and 752 together.

These questions relate to support for the hotel and catering sectors. 

I am in regular contact with representatives of the hotel and catering sectors and am kept advised of issues of concern to the industry.  

The Government  has already implemented a range of initiatives and measures to support the tourism industry.  VAT has been reduced to 9% on accommodation and restaurant services and this lower rate of VAT will continue through 2013.  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 reduced the cost of employing people. 

In 2012 the Government will spend over €144m through its agencies to support the tourism industry, marketing tourism at home and abroad and supporting product development, competitiveness and enterprise capability.  Fáilte Ireland also provides a range of business supports to tourism enterprises.  These supports encompass financial re-structuring, business mentoring, productivity improvement, cost control, sales and marketing, e-business and customer care as well as assisting tourism businesses to engage constructively with their banks

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 (seasonally adjusted) were employed in accommodation and food services in the second quarter of this year compared to the same quarter in 2011. 

I am also very glad to see that in 2011 hotel room occupancy rose and, combined with more efficient resource management, profits per available room before tax rose by over 22%.

I am confident too that the tourism industry will be able to take full advantage of The Gathering Ireland 2013 initiative next year.

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