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Killarney hotelier warns of “dangerous” VAT increase

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Prominent Killarney hotelier and IHF spokesman Tom Randles says the government’s proposed VAT increase on tourism-related goods could have major ramifications for the town’s tourist trade.

The rates for accommodation and food were lowered to 9% in 2011 to help promote job creation. However, a recent review of the VAT rate carried out by the Department of Finance said the measure had achieved its purpose and recommended that it be reset at 13.5%.

Speaking to the Killarney Advertiser, Mr Randles said that such a move would lead to higher prices for people visiting the town.

“If VAT goes up to the proposed 13.5% it would be very dangerous for the tourism industry, particularly in Kerr,” he said.

“It may dampen demand if prices increase. If the market was to tighten up it would be very bad for Killarney. The VAT rate was lowered to 9% in 2011 and that was a great success.

“The current rate is normal in Europe,” he added. “10 other EU countries have a rate of 10% or lower.”

The proposed VAT hike would predominantly affect the larger hotels as most B&Bs are not registered for VAT.

Earlier this year, the TEIR 1 tourism report revealed that 1.1 million visitors come to Killarney annually and the vast majority stay overnight. An increase of 30% is expected before 2025 but if the VAT rates return to 13.5% as proposed, those figures may have to be revised.

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Contactless payments launched on Local Link services

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Passengers using TFI Local Link Kerry services in Killarney and across the county can now pay for their journeys using contactless card payments.

The National Transport Authority (NTA) confirmed the rollout this week, allowing commuters to simply tap their debit card, credit card, or mobile devices, such as Apple Pay and Google Pa, when boarding.

The move is designed to offer more convenience for those using high-frequency rural and regional routes.

In Killarney, the new payment option will be available on the TFI Anseo town services, which have seen a significant increase in passenger numbers since their introduction.

The contactless system is currently available for single journey fares, while those using daily or weekly passes can continue to use the Leap website or the TFI Leap Top Up App.
Alan O’Connell, General Manager of TFI Local Link Kerry, welcomed the modernisation of the fleet.

“The introduction of contactless payments is another welcome step forward for public transport in Kerry,” he said. “It complements other major projects in the county, including the expansion of TFI Local Link services and the delivery of TFI Anseo in Killarney, which is proving to be another great initiative.”

While the new technology offers a modern alternative, traditional payment methods are not being phased out. Cash payments, TFI Leap cards, and Free Travel Cards all remains fully valid across the network.

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How will our Kerry TDs vote tomorrow?

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Tomorrow, Sinn Féin will be tabling a motion of no confidence against the Government after the protests that took place nationwide during the week.

Earlier today we asked our readers how would they vote in a no confidence motion against the Government?

Most of our readers said they would vote no confidence, while some said, yes they do have confidence in the Government.

One reader said: “Vote confidence. The only proper leadership over the last few days came from government. Courage came when needed despite how unpopular it looked in the moment. By contrast, opposition politicians wanted the country to burn to suit themselves”.

Another reader stated: “No confidence. Shambolic and heavy handed handling of protests this past week”.

However, some people didn’t have any confidence in either side with a reader saying: “No confidence in the no confidence! Different wings of the same bird! We need a complete overhaul of the political system”.

We asked the question to our 5 Kerry TDs before lunch-time today, asking them what their vote will be tomorrow.

We received one reply from Sinn Féin’s Kerry TD Pa Daly.

He will be voting no confidence in the Government tomorrow along with his party.

Other media outlets are reporting that Independent TD Danny Healy-Rae is undecided at the moment.

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