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Kerry hoteliers cautious about Brexit despite growth in overseas visitors

H
HOTELIERS in this county today welcomed the continuing growth in visitors to Ireland as recorded in the latest Central Statistics Office (CSO) figures. These show a 9.8% increase in trips to the Ireland by overseas visitors between May-July of this year.
Kerry hoteliers state that this growth is very positive for the sector, helping to sustain local employment. But they caution that the effect of Brexit and the weakness in sterling need to be monitored so that the sector can plan for potential negative impact.
Terence Mulcahy, president of the Kerry Branch of the Irish Hotels Federation, believes the growth in visitors has delivered a major boost to Irish tourism, building on last year’s performance. The latest figures show visitor numbers from North America up 13.3% while Britain is recording an increase of 8.6% and the rest of Europe is up 10%.
“There has been a real sense of optimism in Kerry this summer season, as we have seen more visitors on the ground. However, Brexit is a significant concern with Sterling having fallen by more than 16% against the Euro compared to this time last year. This could have a negative knock-on effect for our local tourism industry," said Mr Mulcahy.
The Kerry IHF president said the tourism industry continues to provide economic growth and vital employment opportunities in Kerry thanks to a number of direct actions from the Government, including the zero rate travel tax and the 9% tourism VAT rate.
“The 9% VAT rate in particular has been of major significance to the industry. This has brought our VAT rate into line with other European destinations and helped level the playing field for tourism businesses to compete for visitors," said Mr Mulcahy.
"This has led to increased visitor numbers and also allowed tourism business in Kerry to create additional employment whilst reinvesting revenues in the sector. Tourism is now a major contributor to our economy, generating €380 million in Kerry and supporting 12,000 jobs.”
Mr Mulcahy added: "In addition to the increase in overseas tourism, it is heartening to see that national tourism efforts to reignite the domestic tourism sector are having an effect. He says that Kerry hotels and guesthouses are witnessing increased business from Irish holidaymakers as growing numbers of people take advantage of the good value available.
The Kerry IHF president cautioned, however, that growth in hotel revenues in Kerry are coming from a low base following the downturn and that many hotels and guesthouses in rural areas continue to face significant challenges.
Pictured above: Terence Mulcahy, president of the Kerry branch of the Irish Hotels Federation.
PICTURE: DON MACMONAGLE
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