Fragmentation has long been a feature of tourism policy development, so it is refreshing to see ministers in the new government acting in a co-ordinated fashion. I have always taken the view that the proper development of the tourism sector is a 'whole of government' issue rather than just one for the tourism minister. Last week, three government ministers made important announcements on tourism as follows:
- Finance Minister, Michael Noonon, made tourism the central pillar of his Jobs Initiative. From July 1st, the VAT rate on restaurant and catering services, hotel and holiday accommodation, cinemas, theatres, museums, fairgrounds, amusement parks, sporting facilities, hairdressing, and printed matter such as brouchers, maps, programmes and newspapers will be reduced from 13.5% to 9% until end-December 2013. Furthmore, the lower rate of employers' PRSI will be halved on jobs that pay up to €356 per week. The €3 air travel tax will also be abolished on a date to be fixed by Order. Increased tourism resources will be made available to Tourism Ireland, working with the three State airports and carriers to promote visitor traffic.
- Justice Minister, Alan Shatter, introduced a 'visa waiver' programme from July 1st to October 2012. This means that holders of UK visas will have them recognised for short stay visits to Ireland. This is an immediate saving of €60 per visitor. The countries included are Belarus, Montenegro, Russian Federation, Serbia, Turkey, Ukraine, Bahrain, Kuwait, Qatar, Saudi Arabia, United Arab Emirates, India, China and Uzbekistan.
- Arts Minister, Jimmy Deenihan has set out his wish to acquire Bank of Ireland's historic branch on College Green for use as a major tourist attraction.
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