Donegal hotelier says any hike in VAT rate will cost jobs

A Donegal hotelier says any hike in the hotel sector’s 9% VAT rate will affect jobs in the North West.

Paul Diver the general manager of the Sandhouse Hotel in Rossnowlagh has been responding to reports this week that the government may increase the VAT rate in the next budget.

Mr. Diver says the reduction in the rate a number of year’s ago was a major boost for hotels in rural counties like Donegal.

He says any change would be detrimental to the sector in more rural economies: