Tourism activity still 6% below pre-Covid levels – ITIC
Activity in the tourism industry still remains 6% below its pre-Covid levels, two years on from the start of the easing of the pandemic.
That is according to the Irish Tourism Industry Confederation (ITIC), which points out that while business levels remain subdued, costs have at the same time been soaring.
The organisation claims the sector needs assistance from the Government in Tuesday’s budget.
“Budget 2025 is very important to the tourism industry and the easiest, most effective and sector-specific way Government can support the industry is a restoration of the 9% VAT rate,” said Eoghan O’Mara Walsh, CEO of ITIC.
Mr O’Mara Walsh added that increased investment is required and that spending reverses in last year’s budget “must be rectified.”
Tourism providers and industry agencies have claimed that the year to date has been challenging for the sector.
Arrivals from the UK are down 12% while recent Fáilte Ireland research has indicated that nearly two thirds of operators expect profitability to be lower this year.
Labour policy changes are also estimated to have added €1.4 billion to the payroll of tourism and hospitality businesses between now and 2026.
The industry is also growing increasingly concerned about the implications of the passenger cap at Dublin Airport.
“We don’t yet know the implications of the passenger cap at Dublin Airport,” said Catherine Flanagan, CEO of the Association of Visitor Experiences and Attractions.
“It is very concerning when we hear that airlines requesting slots for next year are being declined.”
The industry will gather to discuss these and other issues at ITIC’s annual conference, which will mark 40 years of the organisation.
Article Source – Tourism activity still 6% below pre-Covid levels – ITIC – RTE
