Hotels throughout the State are experiencing an average decline of between 10 and 15 per cent in tourism business, the chief executive of the Irish Hotels' Federation, Mr John Power, said yesterday.
Mr Power said business was down in some hotels in the west and south-west by as much as 30 per cent. "The decline is due to the threat from foot-and-mouth disease earlier this year, which affected bookings at a critical time.
"The economic downturn in the United States is also a factor, with Americans more conscious of their discretionary spending. There has also been a decline in the German and French markets. However, we expect that the home market will be up on last year."
Mr Power warned against complacency when dealing with the British market. While the overall numbers might not appear to be down, there had been a decline in those travelling by sea from Britain, he said.
"People travelling by sea generally stay several days longer than those who come here by air."
The Fine Gael spokesman on tourism, sport and recreation, Mr Jim Higgins, accused the Minister for Tourism, Sport and Recreation, Dr McDaid, and the Minister for Finance, Mr McCreevy, of failing to "use their good offices" with the Revenue Commissioners to ease the financial pressure on the tourism sector.
"Last year, tourism interests did not have to make their returns until the end of August. This year, in the midst of the worst crisis ever to hit the industry, and before July has expired, ultimatums have been issued to certain tourism enterprises to have their VAT and PAYE returns made for May, June and July by next Wednesday.
"Last April, in the midst of the foot-and-mouth crisis, Dr McDaid assured the industry that the Revenue Commissioners would be sympathetic in trying to ease the financial pressure on the industry. He and his colleague, Mr McCreevy, have failed to honour that promise."
Mr Higgins claimed that the camping/caravan sectors were having a disastrous year. "Business in guest houses in some areas is down 65 per cent on last year. Yet not a single tangible support measure has been put in place by way of relief, subsidy or compensation."
