Restaurants Association chief says Vat cut is not taxpayers 'subsidising' the food service sector

Vat rate cut from 13% to 9% expected to cost €674.6m and to make up 45% of the overall Budget 2026 tax package

Chief executive of the Restaurants Association of Ireland Adrian Cummins said the Vat rate reduction would help restaurants be more sustainable and more competitive when it comes to tourism spending.

The chief executive of the Restaurants Association of Ireland has said he does not see a Vat reduction as taxpayers subsidising the industry, but rather as a correction to help businesses be more sustainable.

This comes as the RAI publishes a new report, written by economist Anthony Foley, which seeks to make the case for the reduction in the Vat rate for the food service sector from 13.5% to 9% from January.