The Irish Caravan & Camping Council (ICC) has given a guarded welcomed to the supports offered in today’s Budget 2023 but expressed real concern that they do not go far enough.
Niamh Darcy, Chairperson of the ICC stated that “while the Temporary Business Energy Support Scheme is welcome, I don’t think it’ll be sufficient to protect many Caravan & Camping park businesses over the next year especially when you take into account inflation and also the hit early next year of VAT which is going up to 13.5%. We also note the scheme is only guaranteed over the winter months’ according to the Finance Minister. Most experts agree the energy crisis will continue for at least two years so we welcome the fact Government has committed to reviewing the need for support measures in the new year. If energy costs continue to increase supports will have to be extended.”
Con Quill, CEO of The Irish Caravan & Camping Council says “the decision not to extend the special hospitality VAT rate of 9% past February 2023 will be a devastating blow to the Caravan and Camping Sector. They are an integral part of the local economy within rural and coastal communities, and provide affordable holidays to families and individuals in the great outdoors. Parks and campsites of all sizes, will be hit hard by the VAT increase which make them unable to compete on a level playing field with other countries in mainland Europe. Maintaining the 9% VAT rate for 2023 would help keep holidays more affordable for people already battling cost of living rises.”
The ICC will continue to advocate for the retention of the 9% VAT rate beyond March 2023 and call on Government to reconsider its decision. The ICC would like to see the TBESS scheme extended for all of 2023, particularly given the seasonal nature of our sector and energy use. They welcomed the additional marketing funds allocated to tourism in Budget 2023 as important to stimulate demand in what will be a tough year ahead.
