BUDGET 2016: Dublin hotels warned 9% Vat depends on room rates

The tourism industry has broadly welcomed the retention of the 9% Vat rate for the sector — but has been warned that rising hotel prices in Dublin meant the case for maintaining it is “diminishing”.

In a shot across the bow of the hospitality sector, Finance Minister Michael Noonan said:

“The 9% Vat rate is a major benefit to the tourism sector and is much sought after by other sectors in the economy.