2019-21 job losses and potential €1B tourism revenue drop predicted in Ireland's food services sector due to VAT hike from 9% to 13.5% and rising employment costs.

A report from Dublin City University highlights a "commercial crisis" in Ireland's food services sector, worsened by a VAT hike from 9% to 13.5% and rising employment costs. The average profit margin has plummeted from 7.2% in 2019 to 1.9%. The findings predict a potential €1 billion drop in tourism revenue and 21,000 job losses unless the VAT rate is reverted to 9%. Industry groups urge the government to act to prevent further declines.

September 18, 2024
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