Hopes remain in North West for reduction in hospitality VAT rate

Hopes remain among the hospitality industry in the North West that the Government will reduce the VAT rate. It now looking increasing unlikely that there will be a return to the 9% Vat rate for the sector in October's budget, despite Fine Gael's lobbying for the move. Members of the two main government parties met with representatives from the sector this week who outlined the challenges they're facing. A reduction in the rate would cost the exchequer in the region of €545 million. Fianna Fail Cllr and local hotelier Michael Naughton says a number of factors have left businesses in incredibly vulnerable: