#Budget2025
Upcoming Budget is of serious importance to rebalancing the supports for Tourism in Ireland, particularly the SME Self-Catering sector, which is mostly rurally based. With the Register for STR being introduced clear data on the economic value of the sector will be available for first time since 2008. The Self-catering sector has many people self-employed, mostly female and over 45 yrs. of age in rural areas. The ISCF has details of over 6500 properties being professionally managed as self-catering businesses and we carry out Quality Assurance on our members properties in the off season. We work closely with Government Departments and fell support for increased support for the sector would bring more income to rural areas, distributing the international tourism income to more remote areas.
The self-catering sector has been under threat for some years due to a lack of clarity on legislation and we can track the volatility. We have lost 45 individual owners and the marketing agents portfolio loosing approx. 650 properties since January 2024, and we do not count properties under Government contract as self-catering. Many groups’ schemes in coastal areas have been lost due to Government contracts or breakup of schemes to sell off as individual properties This sector which is mostly in rural areas need clear funding development support as a result. Marketing companies in Ireland provide invaluable support to this sector, and their SME resources are under strain as they try to comply with DAC 7 and the ViDA if introduced at EU Level, would wipe out the independent Irish marketing companies.
The ISCF has a small home office team at present but will need a central focused base with a larger team to help the sector grow, with associated project funding. We ask for the following support in Budget 2025 with lion to the capacity, competitiveness and cost challenges facing tourism.
- Register for STR
Register for STR – The ISCF has always welcome the Register for STR as critical to the sectors development.
There may be costs for some long-established SME businesses in urban areas to achieve planning and we ask for funding for these businesses. In Rural areas there may be upgrading of the properties to achieve national standards.
As Failte Ireland has received €5 mil to set up the Registration system a funding requirement exists for the agents, all owners who need to edit existing websites and the ISCF which runs a listing site LetsGoSelfCatering.ie.
The RPZ legislation is now covering over 75% of the country and needs to be reviewed. SME Family businesses are being closed down at present and we ask for a Derogation for all existing STR Business. The Tourism Accommodation LETS (TAL) Planning bill would allow SME businesses to develop and allow for a less rigid planning system. All Self-catering businesses need to be clear on tax compliance and we do not want to lose any more to the black market.
- SME Support System with 1 LEO Office to Support
Improve supports for SME’s and remove capacity blockages for the development of the sector and tourism growth. Have a 1-stop-shop to support office for all SME tourism businesses with access to all grants from Gov depts to develop a business. Fundings for business start-up, web development, marketing, SEAI grants.
Digital Supports for SME tourism businesses linked to a central hub for owners and those who want to open Self-catering businesses. As many Self-catering businesses do not have their own website, a focus on their specific needs can be brought by a central office.
Retrofitting grants for all self-catering business, equal to that of farmers who get a 50% grant funding. Focus on EV charging linked to solar panels for self-catering as well as other sustainable practices which will link with Tourism Irelands
Farm Diversification supports to allow ups killing of the farm families who can welcome guests to their properties.
- Quality Assurance and Marketing Support
Marketing for hotels is a specific function for staff of the individual hotel or group. This leaves self-catering some owners at a severe disadvantage as they cannot leave their business and do not have the skills to do marketing. We ask for funding for the ISCF to develop a central marketing function for the sector, linked to website development for booking and reporting Registered and Quality Assured properties. Staffing of the marketing function as well as set up funding for this function within the ISCF.
Marketing Support funding for ISCF so we can develop and eBook and print version for overseas markets for self-catering, glamping, heritage buildings who have the ISCF Quality Assurance.
Marketing support for digital development of the ISCF sales website LetsGoSelfCatering.ie so we can become a sales system for SME businesses and link with overseas travel agents
- Restore the Vat Rate at 9%
The whole tourism ecosystem is under threat at present with restaurants, pubs and many rural activity providers closing down. This will make Ireland less attractive to visit, while most self-catering owners are under the Vat threshold, they need these many small local businesses to make an area attractive.
“Tourism Matters in Budget 2025”