The Enterprise Minister says the planned cut to the VAT rate for the Hospitality sector is still going ahead in Budget 2026. Finance Minister Paschal Donohoe announced this week that the Budget would see the VAT rate for hospitality return to 9% - at an estimated cost of €1 billion to the exchequer. That's two thirds of all the tax cut money the Government plans to have in budget 2026 - minimising room for measures elsewhere.
However, it's being reported today that the coalition is now considering not implementing the measure until the middle of next year to reduce the immediate cost. Enterprise Minister and Longford-Westmeath TD Peter Burke says as far as he's concerned, the VAT reduction for the sector will be introduced in Budget 2026:
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