THE Budget has not done enough to reduce the costs of employment, the Irish Tourist Industry Confederation (ITIC) said yesterday. The ITIC's chief executive Mr Brendan Leahy, said it was disappointing that no specific measures to develop tourism were included despite the industry's record in creating jobs.
"The Budget goes some way towards alleviating employers costs and provides some incentives for job creation by the reductions in PRSI and Corporation Profit Tax," according to Mr Leahy. But it was not enough, he added.
"We had hoped that initiatives to stimulate greater investment, both in new product development and international marketing, would have been introduced to? further encourage the industry in? its efforts to maintain its impressive job creation performance," he said.
The president of the Irish Hotels' Federation, Mr Gerry O'Connor, welcomed the thrust of the Budget in relation to income tax and PRSl as well as the reduction in corporation tax for small companies and the improvements in inheritance tax relief.
However, Mr O'Connor added, they were disappointed that Mr Quinn had not moved to end the exemption of bed and breakfasts from paying rates.
"The hotel sector is placed at a serious disadvantage vis a vis the 14,000 approved and unapproved B & Bs," he said. "We hope the Finance Act will address this serious anomaly by levelling the playing pitch.