Time is not right for a tourism tax – Simon Harris

Tánaiste Simon Harris, right, with Britain's Northern Ireland secretary Hilary Benn at the British-Irish Intergovernmental Conference in Hillsborough Castle, Co Down, where Mr Harris said the challenges facing tourism across the island were discussed. Picture: Brian Lawless/PA

Now is not the right time to introduce a tourism tax in Dublin, the Tánaiste has warned.

Four local authorities in the capital have been working on an agreed proposal to tax hotel rooms, suggesting that the money raised could be pumped into amenities and further improvements.

Councillors believe the tax could generate around €12m each year, a sum that could be used to employ 250 additional street cleaners or provide 50 public toilets around the city.

However, Simon Harris has questioned the timing of such a levy and said it would require "close engagement" with those operating in the tourism and hospitality industry. He said: 

On the timing of the tax, I'd be very nervous about it. I am conscious of the fact that at the moment tourism is already going through quite a challenging time.

"I think any decisions around any charges would have to be very closely, very carefully considered, with close engagement with industry."

More broadly, Mr Harris said "instinctively" he believes local councillors should have more power to make decisions on various matters.

"I believe in those who we elect to local government being empowered to make decisions about their local community. I think that issue is one to consider, what range of powers should councillors have."

He pointed to the programme for government which commits to examine the range of power given to local authorities.

Tourism as an all-island issue

Mr Harris said the challenges facing tourism across the island had been discussed at a meeting of the British-Irish Intergovernmental Conference in Hillsborough Castle.

A range of topics, including cross-border security, political stability and the controversial Legacy Act were discussed at the first conference to be held in Northern Ireland since 2006, which was attended by the Tánaiste, justice minister Jim O'Callaghan, Northern Ireland secretary Hilary Benn, and the parliamentary under-secretary of state for Northern Ireland, Fleur Anderson.

Ireland not dropping case against Legacy Act 

Afterwards, Mr Harris said the Government is still not at the point of dropping its interstate case against the UK over the contentious act.

The act, introduced by the previous Conservative government, has halted civil cases and inquests into Troubles deaths.

While no agreement was reached during the meeting, Mr Harris said both sides are "making good progress".

"I think it's very important that we're saying we would like to reach an agreement between the two governments on what legacy mechanisms will look like.

"Obviously, any agreement is going to mean that the situation will have to look very different to what it looks today, and agreement will also necessarily be compromised," he said.  

"It can mean real, detailed engagement and compromise on both sides."

Mr Benn added that both sides have been working "really hard" in recent months to seek an agreed way forward based on the British Labour party's "fundamental reform in honouring our repeal and replace commitment" of the act.