December occupancy rates as low as 20% across Munster hotels

IHF call on government to review CRSS scheme as hotels excluded under current restrictions despite inter-country travel ban

Across Cork and Kerry, hotel room occupancy rates stand at just 21%, while hotels in Clare, Limerick and Tipperary are reporting just 20% occupancy.

December occupancy rates in hotels across the Munster region are as low as 20%, a new survey from the Irish Hotels Federation (IHF) reveals.

Across Cork and Kerry, hotel room occupancy rates stand at just 21% for December, while hotels in Clare, Limerick and Tipperary are reporting just 20% occupancy.

IHF President Elaina Fitzgerald Kane says the industry is experiencing "historically low" room bookings in the lead up to Christmas this year, with inter-county travel prohibited until 18th December, and corporate events and Christmas parties off the table due to Coid-19 restrictions.

Despite the travel ban, the IHF say hotels are being excluded from accessing the Covid Restrictions Support Scheme (CRSS), even as hotels across the country project a 72% drop in revenue, on average, for the first three weeks of December. Almost half (44%) expect falls in excess of 75%.

Irish Hotel Federation President Elaina Fitzgerald Kane says hotels are losing the majority of their customer base due to the inter-country trave ban.

The IHF says the Government is maintaining that people are not being restricted from entering a hotel under the current restrictions, but are simply being restricted from leaving their county in order to enter a hotel.

“The effect of this ‘nuanced’ interpretation of the wording is that most hotel accommodation business is being restricted but accommodation providers are specifically excluded from qualifying under Level 3 restrictions even where they meet the required 75% drop in turnover criteria."

Ms Fitzgerald Kane said the IHF is calling on the Government to review this “enormous shortcoming” in the CRSS scheme.

“Currently accommodation providers can only accept bookings from within their county, which represents only a very small proportion of hotel accommodation at this time of year.” 

“The result is that, in order to comply with Government restrictions, accommodation providers are required to restrict the vast majority of their usual customer base from accessing their premises. This is having an enormous impact, leading to a collapse in turnover.” 

“Surely a 75% reduction in turnover due to the Government specifically not allowing people leave their county is exactly the type of devastating situation that the CRSS was intended to support?”

Ms Fitzgerald Kane said public health remains the top priority, and hotels support the Government’s aim of reopening the country safely: “However, hotels and guesthouses continue to be disproportionately impacted by Government restrictions with disastrous implications for revenue and related employment within our sector.” 

“We are seeking a level playing field and calling on the Government to reconsider their approach to the operation of the CRSS so that further damage is not done to the sector,” she finished.