Labour plans change to air travel tax

REMOVING OR reducing the air travel tax are part of a €10 million boost to the State’s tourism industry in a plan announced by…

REMOVING OR reducing the air travel tax are part of a €10 million boost to the State’s tourism industry in a plan announced by the Labour Party yesterday.

Party spokeswoman on tourism Mary Upton said there was evidence the tax was costing €30 million annually in lost revenue.

“I think there is a strong case to either get rid of it entirely or reduce it considerably.’’

Ms Upton said a similar tax had been abolished in the Netherlands, Greece and Spain.

READ MORE

She said the extra State expenditure involved in the Labour proposals would be a relatively small investment given the potential involved to encourage people to holiday in Ireland. “Under our plan Irish people would also be encouraged to holiday at home.’’

Other Labour proposals include extending free public transport at off-peak times to visitors over 66 years, developing interactive Irish tourism applications for mobile internet devices and providing support for small and medium-sized firms in tourism.

The party is also proposing legislation to allow for the downward review of rents, policies to encourage eco-tourism and the protection of the tourism marketing fund for investment.

Party leader Eamon Gilmore said tourism had a key role to play in his party’s jobs strategy. “Crucially, the tourism sector builds on Ireland’s key natural resources. It is truly a sector where we compete on our own natural advantages.’’

Michael O'Regan

Michael O'Regan

Michael O’Regan is a former parliamentary correspondent of The Irish Times