In his latest editorial, Cyril McAree, Editor reflects on an interesting 12 months of 2025 for the sector.
It has been an interesting 12 months for the sector. The budget, while business-focussed, did not do much for the sector. The 9% VAT reduction will not impact businesses until July, 2026, which may be too late for some restaurants. We will have to wait and see…
Short-Term Lettings and the Ongoing Airbnb Debate
The Airbnb short-term letting debacle is still to the forefront of hospitality in Ireland. Government has tinkered around the edges of the issue but yet to properly address the impact the tech giant has on local industry.
Tourism Numbers Under Scrutiny: Industry vs Official Statistics
Another ongoing saga is tourism numbers. The IHF and others question the reliability of figures promoted by the Central Statistics Office (CSO). Industry bodies try to engage with the CSO to ensure their figures align with industry experiences, but a lack of alignment still seems to persist between published statistics and on-the-ground reality.
A New Home for Tourism: Government Strategy and Confidence
The government’s recent 5-year tourism plan has been welcomed by the sector. The decision to move tourism into a business-focused department (the Department of Enterprise, Tourism and Employment) was a major vote of confidence for the industry.
The decision has placed tourism at the cabinet table in a strong and cohesive manner and sets the tone for better engagement and critical support between industry and government for the next half-decade. Paul Gallagher, IHF Chief Executive, was amongst those who welcomed tourism’s new home.
Staffing Pressures Remain
Staffing remains as much of a headache for employers as it was in the post-Covid era. Staff are increasingly difficult to find and attract into business. H&R Times recently spoke with Sarah Dolly, Fáilte Ireland’s Head of Tourism Careers, to discuss ways in which the industry can rise to meet staffing challenges.
Fáilte Ireland has published its annual 2025 Tourism Careers Labour Market Research, in partnership with Jobs.ie, which explores labour issues affecting the sector. The 2025 report shows huge progress in the last four years to rebuild and retain the workforce, says Sarah. It also challenges misconceptions around careers in the industry: attributable to a myriad of dynamic factors, she says, and not one “silver bullet”.
Sarah went on to explain: “Tourism and hospitality is a wide sector with many different roles. We need to ensure there are multiple routes into it. Good work is being done to drive greater links between further and higher education and enterprise. There is also a big shift towards skills-based learning, with employers valuing skills and competencies. Promoting academic pathways is still a huge focus. We know that’s an important pipeline, particularly for managers. Apprenticeships play an important role too – and bodies are looking into expanding their offering. The earn-as-you-learn model is very appealing to young people.”
Looking Ahead: Costs, Compliance and Cautious Optimism for 2026
As the industry experienced a busy and successful festive season, it is keeping an eye on the New Year and challenges ahead, which include auto enrolment and an increase in the minimum wage. Now more than ever, the government has made a noticeable commitment to the sector.
Let’s hope 2026 is another year of growth and opportunity for everyone.
This article appeared in the November / December issue of Hotel and Restaurant Times Magazine.
