Minister for Tourism Peter Burke might have been a bit puzzled reading Fáilte Ireland’s inaugural quarterly economic report before its publication this week. As a consequence, Burke pushed at Cabinet to reduce the VAT rate for the sector from 13.5 per cent to 9 per cent from July 2026. Meanwhile, a large plurality – 48 per cent – of tourism businesses said their revenues increased in 2025. The problem with the VAT rate measure is that it’s like a prescription for decapitation to cure a head cold. Despite everything that’s happening in the world, the Coalition reportedly remains committed to introducing the cut in July.

Source: The Irish Times April 02, 2026 15:31 UTC