A Clare government senator is calling for the VAT rate for the hospitality sector to be regionalised.
The special 9% VAT rate for the industry, initially introduced in 2011 to combat the recession and reintroduced in 2020 due to the Covid-19 pandemic, was scrapped in Budget 2023.
Ennistymon-based Fine Gael Senator Martin Conway is asking the goverment to re-engage with Brussels to see if it would be possible to retain the higher rate of 13.5% in high density areas and return the lower rate to areas with seasonal tourism like Clare.
Speaking in the Seanad, Senator Conway says a way around the current system should be sought.
Listen to the audio here: