NEWS & VIEWS
INDUSTRY WELCOMES RETENTION OF
‘JOB FRIENDLY’ VAT RATE THE HOSPITALITY INDUSTRY WELCOMED THE CONTINUATION OF THE REDUCED RATE OF NINE PER CENT VAT for the hospitality sector announced in Budget 2015. The measure, originally introduced by the Government in 2011, has made a significant contribution to job creation in the tourism sector and to the perception overseas that Ireland is a destination which is good value for money. “Our research has shown that since the VAT rate was originally cut to nine per cent, tourism has generated an extra 30,000 jobs,” said Fáilte Ireland’s CEO, Shaun Quinn. “With regard to employment growth in the economy, tourism has shown that, being a labour intensive industry, it can generate jobs like no other - if the
CHARTWELLS WINS €6.25M GRIFFITH COLLEGE CONTRACT Chartwells, the education arm of Compass Group Ireland, has been awarded a €6.25m five-year contract with Griffith College, which will see Compass Group provide the private college with a range of services, including catering, hospitality, retail and sales and marketing support. Compass Group Ireland will deliver services to 400 staff and up to 7,000 students across the College’s onsite catering facilities, student accommodation, and a 700-seater conference centre. The Chartwells’ team has been busy re-designing the café area and new food options, such as street food and a new coffee offering, are already proving popular with students and staff.
conditions are right. Today’s retention of the lower rate of VAT will ensure that those conditions remain job-friendly and will help to sustain the current levels of employment growth in the sector.” Fáilte Ireland also welcomed the retention of a zero per cent rate for the Air Travel Tax and the changes to the Employment and Investment Incentive scheme which will apply to tourism accommodation providers. “Thanks to a number of pro-tourism initiatives, the industry is on course to create a further 40,000 jobs by the end of the decade,” said Stephen McNally, President of the Irish Hotels Federation (IHF). “The 9% VAT rate, in particular, is of enormous importance to the industry, helping to level the playing field for tourism businesses when competing with international destinations for visitors. This will continue to have benefits for the local economy, particularly in rural regions.” Mr McNally welcomed the Government’s commitment to capital investment next year in projects such as the Dubline Heritage Trail, the Kilkenny Medieval Mile and Killarney House. He also welcomed the commitment to progress work on the Wild Atlantic Way, the new South and East branding proposition, and the Grow Dublin Alliance. According to recent research carried out by the IHF, the overwhelming majority (98%) of hotels and guesthouses say the 9% tourism VAT rate is having a positive impact on their business, enabling almost three quarters (73%) to hire additional new staff over the past 12 months alone. Tourism as a whole now supports 200,000 jobs - equivalent to one in every nine jobs in the country. Total revenue generated across all tourism-related businesses annually stands at approximately €6bn and accounts for four per cent of GNP.
INNOVATIVE PROMOTIONS PARTNERSHIPS FOR TOURISM IRELAND
TOURISM IRELAND IN SYDNEY HAS TEAMED UP WITH PUBLISHERS SIMON AND SCHUSTER FOR A ‘NOVEL’ PROMOTION to boost travel from Australia to the island of Ireland. The campaign has been timed to coincide with the release of Reluctantly Charmed, the debut novel of Dubliner Ellie O’Neill who is now based in Sydney. Ellie’s book, which is set in Dublin and the West of Ireland, is being launched this month in Australia and New Zealand. The Tourism Ireland promotion includes a special competition to win a trip for two to Ireland. A prominent sticker on the front cover of 40,000 books is highlighting the competition and holidays to Ireland in stores across Australia and New Zealand – including big chains like Kmart, Big W,
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Dymocks and Target, as well as in a wide range of independent bookstores. A fullpage ad inside each book is also reminding potential holidaymakers ‘down under’ about the island of Ireland. Online ads on the Yahoo7 network, for the book and the competition, will reach millions of people this month; and ads will also appear in Who magazine in October and in Good Reading magazine in November – reaching almost one million readers across Australia. Meanwhile, Tourism Ireland’s latest campaign to promote the Wild Atlantic Way in Britain sees the organisation team up with Canon cameras and Secret Escapes, an exclusive members-only travel club. Using photography of the Wild Atlantic Way supplied by Canon and promoting accommodation offers bookable through
Secret Escapes, the three-week online campaign is encouraging people in Britain to book their autumn break to Ireland. The promotion involves email marketing to 50,000 customers of Secret Escapes, bringing Ireland and the Wild Atlantic Way to the attention of the high-end, luxury-loving customers of the exclusive travel club. Online ads are also running on the Secret Escapes website, with links to blogs about Ireland and the Ireland offers section on the site. Canon is also highlighting the promotion through its social channels, including Facebook and Twitter. The campaign also features a competition element, with a chance to win a Canon camera and trip to Ireland to experience – and photograph – the Wild Atlantic Way!
HOTEL & CATERING REVIEW
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