Failure to cut Vat in Budget 2025 a 'devastating blow' to pubs and restaurants

Enterprise Minister Peter Burke was unable to secure support from Coalition leaders to reinstate the 9% Vat rate

The IHF said the budget did 'next to nothing to address the enormous challenges confronting the sector'. 

The Government’s decision not to reinstate the 9% Vat rate for the hospitality industry has been deemed a “devastating blow” for the sector, with fears that Tuesday’s move could push over 1,000 more businesses to shut in the next twelve months.

Despite strong pushes for a reduction in the rate of Vat, Enterprise Minister Peter Burke was unable to secure support from Coalition leaders to enact the move.