A PARTICULARLY strong performance in the British and North American markets looks set to boost tourist earnings by 12 per cent to £1.445 billion in 1996, the Minister for Tourism and Trade announced yesterday.

Employment in the industry will rise by over 5,000, bringing total employment to 107,000. "These are record breaking annual results," Mr Kenny claimed.

A highlight of the year was the launch of Tourism Brand Ireland, which Mr Kenny described as one of the most important developments in the history of Irish tourism marketing. "For the first time ever, all of Irish tourism will be able to unify behind a single marketing initiative," he said.

The performance of the industry in recent years has contributed enormously to the overall growth of the economy, Mr Kenny added. "The facts speak for themselves. At a time when the average rate of tourism industry revenue growth throughout Europe is running at around 3 per cent, the rate of growth is 12 per cent."

However, the Irish Tourism Industry Confederation warned yesterday that Ireland was facing increased competition from new destinations. Confederation chairman Mr Eamonn McKeon said Government support for the industry needed to be increased rather than reduced.

The Minister for Tourism and Trade has set a target of earnings from tourism of £2.25 billion annually and the creation of 35,000 extra jobs by 1999.

Mr McKeon said some issues were emerging which would have to be resolved to give the industry the best opportunity to deliver Mr Kenny's targets. These include increasing competition in overseas markets and the threat of congestion in some key tourist areas.

The Government will also have to address the question of reduced EU funding for the industry post 1999, according to Mr McKeon. About £1 billion has been spent on upgrading the Irish tourist product in recent years, much of it with EU assistance.

Mr McKeon said much more consultation should be taking place with the industry on the funding structures necessary after the EU funds at their current levels start to fall after 1999. "Nobody is suggesting that the industry can freewheel to ever increasing targets after that date," he added.

He pointed to a risk that in a period of sustained growth, Government support might slow down rather than grow. "Undoubtedly, the industry must invest in marketing. However, the Government, as a major beneficiary, also has a role to play," Mr McKeon said.