Hospitality

Hoteliers warn that return to 13.5% Vat rate will damage tourism sector

Government to make decision next week on whether to extend 9 per cent rate in place since November 2020

The IHF recently met with Minister for Finance Michael McGrath, Picture by Fergal Phillips.

The Irish Hotels Federation (IHF) on Tuesday expressed its “deep concern” about the impact of what it says is a potential €400 million increase in Vat on the sector.

The Vat rate for the tourism and hospitality sector is due to return to a rate of 13.5 per cent from 9 per cent on March 1.

The increase is currently under consideration by the government at a time when consumers, both at home and abroad, ...