Budget 2014 : transport and tourism

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From the Department of Transport, Tourism and Sport...

NOTE: Given the forum please focus on transport / transport related tourism elements:

Tuesday 15th October 2013

9% VAT rate in Budget a further boost for tourism – Varadkar & Ring

Great day for tourism & sport with job-creating measures

9% VAT rate & €0 Travel Tax will build on Gathering success

€8M for Wild Atlantic Way tourism route

New sport capital funding & new National Indoor Arena at Sports Campus

€50M for road maintenance to stabilise deterioration

Budget 2013 is a further boost for tourism with the retention of the 9% VAT rate, the Travel Tax cut to €0, and €8 million provided for the Wild Atlantic Way tourism route, according to Minister for Transport, Tourism & Sport Leo Varadkar and Minister of State for Tourism & Sport Michael Ring.

It’s also a great day for investment in sport projects with a new round of sports capital and for the development of a new National Indoor Arena at the National Sports Campus. The combined tourism and sports measures represent a significant jobs stimulus for 2014.

Minister Varadkar said: “It’s hugely significant for the tourism industry that Minister Noonan has decided to maintain the tourism VAT rate at 9%. I know this wasn’t an easy decision to make given limited resources, but it’s further confirmation that this Government is committed to job creation in the tourism sector. I thank Minister Noonan and also pay tribute to the tourism industry for running such an effective campaign. I urge tourism businesses now to fully utilise this continuing measure while it remains in place and use it to maintain value for money, support existing jobs and invest in further job creation.”
The Ministers also welcomed the €0 rating for the airline Travel Tax which is designed to generate additional air capacity to Ireland, and said Budget 2014 will allow the Government to consolidate and build on the success of The Gathering.

Minister Varadkar confirmed an additional capital injection to develop a National Indoor Arena at the National Sports Campus. And Minister Ring announced that €8 million will be used to develop the Wild Atlantic Way along the west coast. Minister Ring also announced a new round of Sports Capital Funding in 2014, allowing community sports clubs across Ireland to apply for new infrastructure projects. Both Ministers paid tribute to Minister Brendan Howlin for facilitating this significant stimulus plan.

“I welcome the €0 rate for the Travel Tax as part of a process to generate new airline routes into Ireland. This represents a further boost for Irish tourism and the local economies. I will be carefully monitoring the response of airlines and the tax can be re-imposed next October if the response is not sufficient. The Government will build on all these tourism measures next year, and on the great performance of tourism in 2013, and will make €24 million available for tourism capital projects in 2014,” Minister Varadkar said.

Minister Ring said: “The €8 million investment for the Wild Atlantic Way will ensure that this new west coast route lives up to international expectations. We are marketing Ireland as an outdoor scenic destination and the Wild Atlantic Way is already being widely promoted by international operators. This new funding means the route will be signposted by next spring.”

“A new round of the Sports Capital Programme will start in 2014. This is great news for community sports clubs across the country and will increase participation in sport. Clubs will be able to apply for essential works like new changing rooms, pitches, lighting and other projects for the second time since this Government took office. It also means that clubs which missed out under the last round can make another application, and provide new jobs in their local communities,” Minister Ring added.

Minister Varadkar said the €50 million roads stimulus package will allow some maintenance works to be carried out next year – however cost containment and efficiencies in maintenance will still be necessary. This extra stimulus means the intended cut in the roads capital budget for 2014, originally proposed as a drop of €116 million, will now be a smaller adjustment of €66 million. “Unfortunately there will be no scope for new projects or improvements. This is a very challenging reduction but we will strive to make the most of the very limited resources,” Minister Varadkar said.

Ends

WhatNowForUs?

Why is money going into a National Indoor Arena. Don't we have a spanking new one in Athlone!

n97 mini

You mean Budget 2014?

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Banjoxed wrote: »

Enjoy it, my elderly parents will be paying for it.

Cookie_Monster wrote: »

no, they won't. they just receive slightly less than they did before.

Keep it to the topic at hand.

Banjoxed

Minister Varadakar thanks Minister Noonan for some help. Given that the topic has been hobbled it is hard to see what can be discussed outside of this fact.

Cookie_Monster

That 8m in the wild atlantic way seems to be just a sneaky way of allocating more funding to roads in the west. The website for it maintains it's a driving route and several of the goals are directly related to improving roads...

No mention either of anything to do with Free Travel, the beast goes on untaimed. (not DoT but certainly transport related)

Copyerselveson

A reduction in the subvention to CIE - not mentioned in the OP. Anyone want to comment on that?

Shedite27

No car tax or petrol increases

munchkin_utd

the elimination of flight tax will do nothing for attracting tourists to the country.
If they kept it on and subsidised the bus transfers for tourists then that might be useful.
Or make the public transport system better in general, especially out of season when the service is completely eliminated in many tourist areas.

As an aside, the NTA collating all the transport timetables (which were always in the possession of the stone useless dept of transport) is a step in the right direction on making it possible to traverse the country by public transport, so whilst not being a part of the budget, it was a strategic move by the government (initiated by FF in one of their more enlightened moments when not busy shaking hands at funerals )

AlekSmart

€50M for road maintenance to stabilise deterioration

Certainly a most innovative of language here....not even a nod towards IMPROVING the situation...."Stabilising the Deterioration"....I suggest we have just witnessed the birth of a new Motto for Éire

Dravokivich

AlekSmart wrote: »

Certainly a most innovative of language here....not even a nod towards IMPROVING the situation...."Stabilising the Deterioration"....I suggest we have just witnessed the birth of a new Motto for Éire

We decided to wobble in the opposite direction, to counteract the initial wobble which has displaced us. :pac:

end of the road

so we spent millions on roads at the expence of rail and now we just want to "stop the deterioration" well done leo, in relation to the post mentioning the cut in subvention to CIE, bad news, how much more can they cut it before we see a deterioration of both service and rail infrastructure?

RonanM123

The travel tax being scrapped has resulted in Ryanair announcing that 1 million extra passengers will be carried by the carrier across all 4 airports they serve and up to 1,000 jobs created. Full details announced in the coming week or two.

I expect CIE services will see a small boost as a result.

Copyerselveson

RonanM123 wrote: »

The travel tax being scrapped has resulted in Ryanair announcing that 1 million extra passengers will be carried by the carrier across all 4 airports they serve and up to 1,000 jobs created. Full details announced in the coming week or two.

I expect CIE services will see a small boost as a result.

Perhaps they will but it will be hard to quantify if any boost to passenger numbers as a result of this. I would think that less money for CIE will mean cuts to services and therefore any increase will be lost.

dowlingm

There are a lot of industries and services that would love a 9% VAT rate.

the groutch

Cookie_Monster wrote: »

That 8m in the wild atlantic way seems to be just a sneaky way of allocating more funding to roads in the west. The website for it maintains it's a driving route and several of the goals are directly related to improving roads...

I assume that it mainly covers Mayo