Nolan backs urgent calls to protect county’s 2,200 tourism jobs

Offaly hoteliers and the Irish Hotel Federation (IHF) have received support from Independent TD Carol Nolan as they call on the Government to deliver targeted measures to safeguard the long-term viability of the county’s 2,200 tourism and hospitality jobs.

Deputy Nolan was echoing the thoughts of Aidan O’Sullivan, IHF Midlands Branch Chair, stating a restoration of the 9% VAT rate for food-related services would be a “vital intervention for a sector that supports over 270,000 livelihoods nationally.”

“There is no doubting or getting away from the fact that tourism as a pillar industry for our local and national economies has taken a severe hit over the last number of years.

"In fact, we know from data generated by up AIB’s most recent purchasing managers’ index (PMI) for the services sector that sections of our tourism offering have reported a fifth consecutive monthly decline in business levels and at a faster pace.

“To a very significant degree this is a direct result of the 13.5% VAT rate and the new levels of uncertainty about its reduction to 9%, alongside excessive business costs, which, as the IHF Midlands Branch have stated are amongst the highest in Europe for insurance premiums and energy charges. Something has to give. I am particularly concerned about the estimated 2,200 jobs in Offaly that may be further endangered if Budget 2026 does not deliver in a meaningful way.

“The question Government must ask itself is, does it really want local and national tourism to not merely survive but thrive. We need more than the bare minimum approach that we have seen to date.

“We are talking here about the 270,000 livelihoods that are supported by Irish tourism & hospitality across approximately 20,000 tourism and hospitality businesses, all of which are generating €10.2bn in revenue annually for the economy.

“It would be an act of national economic self-harm to endanger this sector, especially at a time when we absolutely need to focus on growing and protecting indigenous sectors that have a proven track record of delivery,” Deputy Nolan said.