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Hike in VAT rate will make Ireland third most-expensive in Europe

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By Sean Moriarty

Hotel and guesthouse owners in Kerry met with local political representatives last week to discuss the challenges facing the tourism sector as 2023 approaches.

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The hike in VAT rates, due in March, will make Ireland the third most-expensive in Europe behind Denmark and Britain.

Currently Ireland sits mid-table and the 9% VAT rate is inline with Cyprus, the Netherlands, Lithuania and Estonia.

Hoteliers also discussed with local political representatives the importance of the 9% Tourism VAT rate and how this is the right rate for the long-term sustainable development of Ireland’s largest indigenous industry, which in 2019 employed 270,000 people and returned over €2bn to the exchequer in direct tourism-related taxes.

“The current 9% rate is the right rate for Irish tourism in a European context. Increasing the tourism VAT rate by half to 13.5% in March 2023 would make Ireland’s tourism VAT rate the third highest in Europe, far above other European countries where they take tourism seriously like Portugal (6%), Malta (7%) Netherlands (9%),” Bernadette Randles, Chair of the Kerry of the Irish Hotels Federation, said.

“Tourism is an important part of the local economy here in Kerry and the continued recovery of tourism and hospitality must be to the fore of Government economic policy as we seek to support these businesses throughout these continued uncertain times.”

Local hoteliers welcomed the upturn in tourism this year, businesses throughout the country remain in recovery mode, having survived the worst economic shock in recent memory and who are now confronting skyrocketing energy costs and an expected global economic downturn in key markets next year.

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BREAKING: Kerry ETB Awarded €2.3m to purchase Pretty Polly Site

The Kerry Education and Training Board (Kerry ETB) has been awarded €2.3 million in funding to purchase the former Pretty Polly site on Upper Park Road, Killarney. The funding, announced […]

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The Kerry Education and Training Board (Kerry ETB) has been awarded €2.3 million in funding to purchase the former Pretty Polly site on Upper Park Road, Killarney.

The funding, announced this morning by Minister for Further and Higher Education, Research, Innovation and Science, James Lawless TD, will allow Kerry ETB to develop the site as a new Tourism Sector Training College. The proposed facility will focus on training for the hospitality and tourism industries.
Kerry TD Michael Cahill described the announcement as “a major vote of confidence in Killarney and the wider Kerry tourism industry.”
“This is immense news for the town,” said Deputy Cahill. “It will mark Killarney out officially as the tourism capital of Ireland by providing a Hospitality Sector Training College right in the heart of the county.”
Deputy Cahill said he had been advocating for such a development since entering the Dáil, adding that the investment “will be a gamechanger for the hospitality sector in Killarney and Kerry.”
He also recalled the former CERT training centre that operated at the Torc Great Southern Hotel in the 1970s, noting that this new project would revive that legacy for a new generation of tourism professionals.
The Pretty Polly site, vacant for many years, will now be transformed into a key educational and economic hub for the region once the project proceeds.

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Coffee morning being held in memory of late Kevin O’Shea

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A coffee morning will take place in the Aghadoe Heights Hotel next week in memory of the late Kevin O’Shea.


It will take place on October 18 from 11am to 1pm.


All proceeds will go to Kerry Hospice Foundation, Kerry Cancer Support Group and Recovery Haven.


For those who are unable to make it on the day, you can make a donation online by scanning the QR code on the picture.


Kevin’s family extended their heartfelt thanks to local businesses and hotels that have generously sponsored spot prizes, all to be won on the day.


They also said that any donation, big or small, is appreciated and all support is most welcome.

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