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06 Sept 2025

Longford firms lead calls for extension of 9% hospitality VAT rate

Hospitality

Longford businesses have been quick to hit out at moves to revert VAT rates for tourism, hospitality and some other services from 9 per cent to 13.5 per cent

The Government is coming under pressure to row back on an imminent hike in VAT rates for Longford’s tourism and hospitality sector.

 

From midnight the 9pc Vat rate will revert to a pre-pandemic level of 13 per cent in a move which has been met by much derision locally.

The VAT rate for tourism and hospitality was cut to 9 per cent during the pandemic to protect businesses, and has since cost an estimated €300 million.

However, a number of locally based cafes and restaurants have been quick to denounce the proposed increase.

Krzysztof Kulisz from Longford delicatessen Dessert Mania said the plans were already forcing local businesses to make tough choices.

“That is the problem to pass onto the customers or the business,” he said. 

“Probably from the beginning we (will) take it because we don’t want to increase prices.”

Fellow local eatery owner Mahdi Abdul of Coffee Corner said the decision to revert to a higher 13.5 per cent rate was “100 per cent” the wrong move to impart on businesses already struggling to make ends meet.

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