Dáil Éireann Debate, Tuesday - 26 April 2022
588. Deputy Christopher O'Sullivan asked the Minister for Tourism, Culture, Arts, Gaeltacht, Sport and Media if the hospitality sector is now suffering due to the increased energy costs and is struggling; her views on whether the extension of the VAT rate would help the sector to recovery; and if she will make a statement on the matter. [19802/22]
View answerThe Tánaiste and Minister for Enterprise, Trade and Employment and I co-chair the hospitality and tourism forum, and in the context of our respective roles, my focus is on the development of tourist traffic within or to the State and the development and the marketing of tourist facilities and services in the State while the Tánaiste has responsibility for the overall hospitality sector as a key economic sector. The current trends in energy prices are not unique to Ireland and are, in fact, part of global trends. While increased energy costs present a challenge to all economic sectors, including hospitality and tourism, the comprehensive response of Government to energy supply and cost challenges is ongoing and aims to minimise the impact on sectors and consumers as far as possible.
In February, the Government agreed a package of €505million, including the €200 energy credit and a lump sum payment of €125 for those in receipt of the fuel allowance, to help offset the increases in energy prices. In March, a further tax measure was introduced to immediately reduce the cost of fuels for families and businesses. This €320 million measure has seen a temporary reduction in excise duties on petrol, diesel and marked gas oil, which cuts excise by 20c per litre of petrol and 15c per litre of diesel and a reduction in VAT from 13.5% to 9% on gas and electricity bills from the start of May until the end of October.
