Ryanair voices concerns over tourist tax

Ryanair has this week called on the Irish Government to scrap its €10 tourist tax to prevent a further collapse in Irish tourism and related jobs next winter.

The airline claims that in the first five months of 2009 over 1 million fewer passengers travelled through Irish airports, resulting in the loss of at least 1,000 jobs at Ireland airports and over €600 million in tourism revenues.

Ryanair further claims that statistics from the Airport Council International (ACI) confirm that every 1 million passengers at an airport create and sustain 1,000 jobs. Similarly Fáilte Ireland statistics estimate that oversees visitors spend an average of €600 visiting Ireland. If the traffic collapse of the first five months continues for the full year the Irish economy will lose over 2.5 million passengers, over 2,500 airport jobs and over €1.5 billion in tourism spend in 2009 alone.

The Belgian, Dutch, Greek and Spanish Governments have recently scrapped similar tourist taxes and/or airport charges in order to reverse falling passenger numbers and prevent further tourism and job losses.

Ryanair’s Stephen McNamara said:

“This €10 tourist tax is nothing short of tourism suicide. For this tiny tax revenue of just €125 million pa, the Irish government will lose over 2,500 jobs and more than €1.5 billion in tourism spend, the VAT receipts on which would exceed €300 million.

“The Irish Government must follow the example of their Belgian, Dutch, Greek and Spanish counterparts by immediately scrapping their stupid and regressive tourist tax in an effort to avoid any further devastation to Irish tourism and jobs.

“Tourism is one of Ireland’s most important industries and employers. It responds quickly to price increases. The Irish Government’s €10 tourist tax is making Ireland an uncompetitive destination and they must act now to save Irish tourism”.