ITIC Calls for €50m Investment Package in Budget 2027

Tourism chiefs want the Government to commit to a €50m investment package, for the industry, in the October Budget.

Ahead of the Budget 2027 announcement, due on October 6, the Irish Tourism Industry Confederation (ITIC) - the representative body for the inbound and domestic tourism industry - has called for investment to further diversify Ireland's tourism offering.

That, it said, should cover boosting AI readiness, growing business tourism attractiveness and pushing a culinary tourism strategy.

It also wants the funding to cover an industry recruitment pipeline and improved transport infrastructure for regional tourism.

In its pre-Budget submission to Government, ITIC said: "The continued recovery of Irish tourism is of immense importance to the Irish economy. This has been a difficult year on a number of fronts for the Irish tourism industry and Budget 2027 comes at a key time.

"Ireland’s largest indigenous industry and biggest regional employer has proven resilient over the years and continues to be of critical national importance. Industry fully supports the Government’s 5-year national tourism policy and is ambitious for the sector’s future.

"However to achieve growth requires measures in Budget 2027 around competitiveness, capacity, connectivity and investment. Sustainable growth can only be enabled by pro-tourism and pro-enterprise policies.

"Budget 2027 can set a clear roadmap for tourism’s success in the coming years. This would be a positive development for the visitor, the tourism industry, local communities and the national exchequer."

ITIC also wants the upcoming Budget to address Ireland's tourism competitiveness, connectivity and capacity. While welcoming the lifting of the passenger cap at Dublin Airport, the Confederation wants more supports for Cork and Shannon airports. The competitiveness issue is based on the need to tackle costs and recent official Eurostat figures showing Ireland to be the second most expensive country to visit within the EU.

It also argues that while the Government's own 5-year plan for inbound tourism growth is ambitious and welcome, its target of 50% tourism revenue growth by 2031 will only be achieved if the country's hotel shortage is tackled and tourism capacity is increased.

ITIC added: "Budget 2027...is of particular importance to Ireland’s tourism and hospitality industry. With continuing macroeconomic uncertainty and geopolitical upheaval, Ireland as a small open economy is particularly exposed.

"Tourism is predominately an export sector with the bulk of revenue coming from international visitation. A mixed demand outlook, allied to cost of business pressures and capacity constraints, means that Irish tourism is at a vulnerable point. Budget 2027 needs to underpin competitiveness, incentivise capacity, improve connectivity, and support tourism with appropriate investment."