ITIC Demands €90 Million Boost for Tourism in October Budget

The Irish Tourism Industry Confederation (ITIC) is urging the Government to allocate an additional €90 million in the upcoming Budget 2026, scheduled for delivery in October. This call comes as the organization highlights significant challenges facing Ireland’s tourism sector, which is grappling with geopolitical and macroeconomic uncertainties.

In a recently published pre-budget submission, ITIC outlined key areas that require immediate attention to foster improved connectivity, competitiveness, and investment in both domestic and inbound tourism. The report emphasizes the need for enhanced airport capacity and support for regional airports.

Enhancing Connectivity and Competitiveness

ITIC is advocating for the permanent lifting of the passenger cap at Dublin Airport and increased support for both Cork and Shannon airports. These measures, according to ITIC, are essential to align with EU state aid levels and boost the sector’s overall connectivity.

The organization also calls for the extension of a promised reduction in VAT to 9% for hospitality and service businesses to include attractions, adventure holiday operators, and caravan parks. ITIC highlights that better support is necessary to address escalating business costs related to energy, insurance, excise duties, and labor.

Investment Needs and Economic Impact

Despite the tourism sector contributing nearly €3 billion annually to the Irish economy, ITIC notes that government investment in tourism remains disproportionately low at approximately €251 million each year. This funding, the organization argues, is “wholly inadequate” to meet the challenges ahead.

To address this shortfall, ITIC is requesting an increase of €90 million in the next budget. This investment would facilitate a more equitable distribution of tourism across regions, promote sustainability efforts, support national food tourism initiatives, and encourage market diversification.

Eoghan O’Mara Walsh, ITIC’s Chief Executive, stated, “Now is the time for Government to control the controllables and focus on domestic home-grown sectors. Tourism is the largest indigenous industry and biggest regional employer and needs to be supported in October’s budget.”

In addition to tourism funding, ITIC pointed out that the Government has accumulated a surplus of nearly €2 billion in the National Training Fund (NTF), which is financed by employer contributions. This fund has the potential to significantly enhance skills development in the tourism and hospitality sectors. ITIC advocates for a release of these funds to support training initiatives aimed at bolstering the labor-intensive tourism industry.

As the Government prepares for Budget 2026, the emphasis on enhancing tourism through strategic investment and support is expected to be a focal point in discussions, reflecting the sector’s critical role in Ireland’s economic landscape.