Interest groups' reaction to Budget 2009

Below is a selection of reaction from various groups to Budget 2009.

Below is a selection of reaction from various groups to Budget 2009.

Aer Lingus
Aer Lingus today described the new airport travel tax as "anti-Consumer, anti-Tourism and anti-Business".

"This new tax will further damage already falling consumer demand for air travel and will put Ireland at a significant disadvantage for inbound tourism on which thousands depend for their livelihood," the airline said. It added that it believed the tax was discriminatory as it will not be deployed on an equitable basis across all Irish carriers. Aer Lingus believes that the lower tax rate should have been applied to all UK destinations.

ASH Ireland

ASH Ireland welcomed the 50 cent increase on cigarettes and related products but said it believed an opportunity has been missed by the Minister for Finance to make a real impact on smoking levels by imposing a more substantial rise in the price of tobacco-related products.

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Disability Federation Ireland (DFI)

The DFI said the 2.1 per cent increase in the Health vote for 2009 means deep cut backs. And said specific and detailed measures to protect and advance disability services needed to be announced.

Drinks Industry Group of Ireland [DIGI]

The Drinks Industry Group of Ireland [DIGI] expressed disappointment at the decision to increase excise duty on wine saying that Ireland already imposes the highest excise duties on alcohol within the EU making wine considerably more expensive than in other countries.

Ebookers

Online travel agent Ebookers.ie called on the Government to explain it's reasoning behind introducing taxes on airline tickets purchased by passengers departing from Ireland. The company said that increasing charges in an industry that is already under huge pressure due to rising fuel costs put people's livelihoods at risk.

Focus Ireland

Focus Ireland said that the Government had failed to protect the most vulnerable members of society in the Budget and said it was vital the 5 per cent HSE cut does not hit services for the homeless. The organisation described the Budget as “a missed opportunity to invest in social and affordable homes in order to protect jobs, stimulate the economy and provide homes.”

Irish Bookmakers Association (IBA)

The Irish Bookmakers Association (IBA) called on the Minister for Finance to reverse "the irrational and disastrous decision" to double the rate of Betting Duty from 1 per cent to 2 per cent, which it said would drive sole trader bookmakers out of business.

Irish Hotels Federation

The Irish Hotels Federation welcomed the Government’s maintenance of tourism marketing funds and the decision not to increase the VAT rate for hotel accommodation and restaurant services. However, it expressed concern over the €10 airport tax.

Irish Hospital Consultants Association (IHCA)

The IHCA expressed concern that the Budget will result in very damaging cutbacks in frontline health services. The organisation said it is seeking an urgent meeting with the HSE and the Minister for Health and Children to review the delivery of health services in these difficult budgetary circumstances.

ICT Ireland

ICT Ireland, which represents the technology sector welcomed the R&D and innovation measures included in the Budget but raised concerns about the lack of commitment to the teaching and support of science and mathematics.

Irish Wine Association (IWA)

The IWA expressed disappointment at the 25 per cent increase in excise duty on wine. It said the result of this would encourage more consumers to travel to Northern Ireland to purchase alcohol more cheaply.

Irish Tobacco Manufacturers' Advisory Committee (ITMAC)

ITMAC said it regretted the decision to increase the level of excise duty paid on cigarettes by 50 cent per packet.

"This above-inflation increase on cigarettes will cost the Government in excess of €350 million per annum due to lost taxation through increased smuggling of illegal cigarettes," it said.

William Hill 

Bookmaker William Hill expressed disappointment at the decision saying that it would make running large estates of betting shops unattractive. However, it said it would not pass the tax increase on to punters.

Charlie Taylor

Charlie Taylor

Charlie Taylor is a former Irish Times business journalist