Leo dangles hope of VAT rate extension for business
THE Dáil is a cold house for politicians despite all the hot air around the Budget as the Oireachtas authorities are refusing to put on the heat.
Management in Leinster House say the heating will stay off, despite complaints the 275-year-old building is cold.
Management say they are “showing leadership” in the parliament buildings as part of “the national effort to reduce consumption”.
The heat is normally turned on from October 1, but can be switched on before that if necessary.
However, this year the Houses of the Oireachtas say they will lead by example and keep the heat off until the special date.
In a letter to all of the TDs, Senators and staff, management explains their decision.
“We have had several enquiries about heating in the Leinster House complex.
“The heating is traditionally turned on 1st October each year.
“In view of the government’s climate action targets, the energy crisis and the national effort to reduce energy consumption, and also to offset increases in energy costs, the heat will not be turned on until next Monday at the earliest.”
LEO Varadkar has held out hope that the special VAT rate for hospitality businesses could be extended.
The rate was reduced to nine per cent from 13.5 per cent to help the country’s bars, restaurants, hotels and tourism businesses stay afloat during the Covid-19 crisis.
Finance Minister Paschal Donohoe announced in the Budget that it would be going back up to 13.5 per cent at the end of February.
Review
But Enterprise Minister Varadkar has now said there will be a review on that date, indicating it could be extended again.
He said: “What we’re doing is we’re extending that concessionary rate until the end of February, which at least gives some certainty up until then.
“And we’re also bringing in an energy scheme to help businesses, including hospitality businesses, with the cost of their electricity and gas, up to €10,000 a month.
“But we appreciate that the industry is under pressure and we will keep things under review.”