Carrigy believes 9% VAT rate will support businesses in Longford to grow

The 9% VAT rate for small businesses in the hospitality, tourism, and food industries will protect jobs and help businesses thrive.

​Longford Westmeath Deputy Micheál Carrigy has said the reduction in VAT for hospitality, announced on Wednesday, July 1, will help businesses remain competitive, continue to create jobs and provide quality services in our local communities across County Longford.

Deputy Carrigy stated, “We know that running a business isn’t easy and we are committed to working hard to reduce costs for businesses.”

He continued, “There are around 20,000 restaurants, pubs and hotels across the country. They are in every town and village, providing a great service for the community.

“Jobs in hospitality are vital for so many communities across Ireland, and we need to do all we can to protect them and our economy.

“In 2025, there were 186,000 people employed in Accommodation and Food Services, with 75% of businesses employing less than 10 staff.

“That’s why this reduction in VAT for the hospitality sector will be a huge help to so many.

“This change will be felt on the ground; by our family-run shops, cafés and service providers who have worked hard through challenging times. It gives them space to reinvest, innovate, and expand.

“Fine Gael is committed to supporting our SMEs in our local communities in Longford by helping them reduce costs,” concluded Deputy Carrigy.

Meanwhile, SIPTU representatives have criticised the reinstatement of the 9% VAT rate for employers in the hospitality sector.

They’ve warned that the measure represents a costly subsidy to business with no guaranteed benefit for workers or consumers.