'No indication' if 9% VAT rate will be retained

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'No indication' if 9% VAT rate will be retained
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The Restaurants Association of Ireland said there was 'no indication' after a meeting with ministers Paschal Donohoe and Michael McGrath if the 9% VAT rate would be retained

The Restaurants Association of Ireland said there was"no indication" from the ministers if the VAT rate of 9% would be retained, although they listened to the concerns of the hotels, pubs and restaurant sectors.

It was not expected that Minister McGrath would announce a decision tonight, with a Government source describing the meeting as a"listening exercise" which reflects the good relationship which was developed during the Covid-19 period.The RAI warned over the weekend that one in every five restaurants in Ireland will be at risk of closure if the Government increases the VAT rate back to 13.5%.

This evening's remote meeting included representatives from the hotel, restaurant, and pub industries. On Thursday, a Cabinet sub-committee meeting is expected to consider the future of the various cost-of-living supports, including the reduced VAT rate with decisions being taken by the full Cabinet the following week.

The Coalition leaders will meet this evening, ahead of tomorrow's Cabinet meeting, but VAT is not expected to be discussed.

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