The Ballymore Inn

[The Ballymore Inn @Ballymore_Inn]

Have your say. Please support this message by sharing it. @Paschald @jackfchambers

[Restaurants Association of Ireland @RAI_ie]

'Vast majority fear for the future of our restaurants'

New Amárach Research polling in today’s Irish Daily Mail:

- 89% say cafés, pubs and restaurants play a key role in local communities

- 75% are concerned by the prospect of chains replacing independent hospitality businesses

- Only 29% oppose reinstatement of 9% VAT rate on food

[Restaurants Association of Ireland @RAI_ie]

Reinstatement of the 9% VAT rate for small, independent restaurants, cafés and pubs must be top of new Minister for Finance’s agenda

The Restaurants Association of Ireland has this afternoon welcomed the appointment of @JackFChambers as Minister for Finance. Deputy Chambers has a proven track record of backing SMEs in the hospitality sector, particularly in his constituency area of Dublin West.

In the context of Budget 2025 and the urgent need for the reinstatement of the 9% VAT rate on the food element of the hospitality sector to stem the current tide of closures, it is important to note that:

- The RAI met with Minister Chambers’ predecessor, Michael McGrath, last week who committed to strongly considering reinstating the 9% VAT rate on food as part of Budget 2025.

- Minister Chambers’ coalition partners, @FineGael, unanimously passed a motion calling for the return of the 9% rate for food-led businesses at the party’s Ard Fheis in April. Minister for Enterprise, Trade and Employment @PeterBurkeFG has endorsed this position as recently as last weekend.

- The Regional Independent Group and Rural Independent Group of TDs have submitted Dáil motions in support of the 9% rate, with the second of those being carried in the Dáil last week after the Government decided not to oppose it.

- Recent polling conducted by Red C on behalf of the Business Post found that 64% of the public support the lower VAT rate for restaurants and cafés, while only 18% wanted to see the higher rate retained. Additional data from Amarach Research found that 67% of the public know of a closure of a small business in their area that has happened already in 2024.

- A national, grassroots ‘VAT9 Now’ campaign driven by on-the-ground restaurant and café operators has exploded in popularity on social media, which led to VAT9 election posters being erected across the country during the most recent local and European elections.

The Restaurants Association of Ireland and our CEO, @AdrianCummins, look forward to meeting with the new Minister for Finance in the coming weeks and gaining his support for the reinstatement of the 9% VAT rate for food-led businesses in Budget 2025 - the only measure that can allow us to avoid a further tsunami of closures and return long-term viability for our industry.

[Restaurants Association of Ireland @RAI_ie]

All across the country, the survival of Ireland’s small, independent restaurants and cafés - the heart of so many communities - has become a major election issue.

The reinstatement of the 9% VAT rate for food-led businesses is the only way our industry can become viable again.

[Adrian Cummins 🇮🇪🇪🇺🇵🇸 @adriancummins]

Update - 9% Vat

Businesses reiterate demand for Vat cut after Michael McGrath’s Revenue debt warehousing tweaks

The Restaurants Association of Ireland @RAI_ie said that the updated debt warehousing scheme would “not ensure long-term viability for the food-led hospitality industry,” and instead, called for the Vat rate to be lowered to 9 per cent immediately.

https://t.co/dw8yf068Ww via @businessposthq

[Adrian Cummins 🇮🇪🇪🇺🇵🇸 @adriancummins]

🚨Warehouse Tax

While we welcome the intervention by Minister @mmcgrathtd regarding warehouse, it helps 400 restaurants who owe over €50,000 to @RevenueIE

The Minister must move on reducing the 13.5% vat rate for Food led Businesses plus a meaning support package for Food led Businesses

[Adrian Cummins 🇮🇪🇪🇺🇵🇸 @adriancummins]

🚨Update - Closure of Food Led Businesses

Tomorrow I will be raising again the issue of escalating Closures of Food Led Businesses with Ministers @simoncoveney & @cathmartingreen as part of the Tourism & Hospitality Forum

Government support is required urgently to Rescue a sector in crisis

[Adrian Cummins 🇮🇪🇪🇺🇵🇸 @adriancummins]

Minister @simoncoveney - the factors relating to this closure and like every other business that has closed down………….and more to come are -

Vat increase to 13.5%
Wage inflation
Increase in supplier costs.

A rescue plan for Hospitality is required with immediate effect.

[Adrian Cummins 🇮🇪🇪🇺🇵🇸 @adriancummins]

🚨9% Vat

An increase in vat for Restaurants, Cafes, Pubs and Food Service on 1st September means the following

Government Win ✅

Customers lose ❌

Businesses lose ❌

[Adrian Cummins 🇮🇪🇪🇺🇵🇸 @adriancummins]

🚨New Report by @CroweIreland & @Failte_Ireland

•Ireland’s temporary 9% VAT rate, for food (in a restaurant) ranks in the lower half of countries illustrated. A 13.5% rate would put us in the upper half.
•Our VAT rate for alcoholic beverages is amongst the highest in the EU
•Excise duty in Ireland on alcoholic beverages remains amongst the highest in the EU.

[Adrian Cummins 🇮🇪🇪🇺🇵🇸 @adriancummins]

🔴9% Vat Rate

In 2018, the Government at the time announced a vat rate hike to 13.5% for Hospitality based on a Department of Finance forecast of an extra €550m in 2019.

Fact is the dividend was €241m for 2019 pre COVID as per Revenue.

[Adrian Cummins 🇮🇪🇪🇺🇵🇸 @adriancummins]

Vat 9%

The consequences of increasing the vat rate are immense !!

⬇️⬇️

[Anthony Gray @anthonygsligo]

Restaurants in Rural ireland will be decimated if the VAT rate goes back to 13.5%.Lots can hardly open throughout towns with rising costs.This will lead to closures and job losses. Now is not the time. We need recovery and growth - not inevitable price hikes within industry.

[Adrian Cummins 🇮🇪🇪🇺🇵🇸 @adriancummins]

🚨Low margin businesses like Restaurants, Cafes and Gastro Pubs will suffer the worst from an increase to the 9% vat rate. Emery, cost of business crippling Biz

🚨1 in 5 restaurants face closure if the rate reverts to 13.5% on 1 March

🚨Support your local Hospitality Business

[Adrian Cummins 🇮🇪🇪🇺🇵🇸 @adriancummins]

🚨1 in 5 Restaurants face closure it 9% vat rate increases at the end of February

🚨Energy & Cost of Business crippling Low margin Restaurants, Cafes and Gastro Pubs

[Adrian Cummins 🇮🇪🇪🇺🇵🇸 @adriancummins]

🚨Top 5 issues for the Hospitality & Restaurant Sector in 2023

➡️Cost of Energy
➡️Inflation regarding Business Costs
➡️Retention of 9% Vat for Restaurants & Food Service
➡️Staff Shortage
➡️Warehouse Tax