Kerry hoteliers call for 9% hospitality VAT rate to be rubberstamped in future budgets

The 9% VAT rate for the hospitality sector should be rubberstamped in future budgets.
That’s according to the PRO of the Kerry Branch of the Irish Hotel’s Federation, Tom Randles, reacting to the Government’s decision to retain the rate in Budget 2018.

Mr Randles said the 9% – introduced in 2011 – is a measure which has proven itself to work.

He said the reduction from 13.5% to 9% on a range of goods and services – including accommodation, restaurants and certain cultural activities – has seen the sector thrive over the past six years.

Mr Randles says the 9% rate should be rubberstamped in future budgets to ensure competitiveness in the European market, especially in light of Brexit.


Seanad Leas Chathaoirleach, Killarney Senator Paul Coghlan he was pleased the hospitality VAT rate is to remain unchanged – given some opposition TDs wanted it increased to 13.5%.

He said since the rate was set in 2011, 40,500 jobs have been created and its maintenance is vital.