Parknasilla profits hit by VAT hike
Changes to trainee solicitor exams
THE boss of luxury south Kerry hotel and resort Parknasilla has blamed a sharp fall in profits on the outgoing Government’s decision to increase VAT for the tourism and hospitality sector.
The sharp 50-per-cent VAT increase to 13.5pc on the hospitality industry last year contributed to revenues declining by five per cent at the world-famous hotel located on a scenic site overlooking Kenmare bay, close to Sneem.
That is according to the managing director of the hotel, Tony Daly, who said last week that the VAT increase “has had a negative impact on business”.
Mr Daly said the hotel did not pass on the VAT hike to customers “and our revenues for 2019 have taken a five-percent decrease as a result”.
“Many smaller businesses such as restaurants have closed primarily due to this VAT hike that was ill-conceived by the Minister of Finance,” he said.
“The cost of doing business increased across the board in 2019, impacting on operational profit. UK business has decreased due to a weak Sterling exchange rate,” Mr Daly said in comments on new accounts for Parknasilla, which showed that the hotel’s Silork Ltd recorded an operating profit of €1m in 2018.
This followed revenues increasing by six per cent, to €8.5m from €8m.
Mr Daly said that 2018 had been “a bumper year for tourism throughout Ireland.”
“Our (Parknasilla’s) revenues increased significantly during the full season. International business was consistent, and domestic business grew, aided by a beautiful summer.”
Silork recorded a pre-tax loss of €631,481, and Mr Daly said this was due to a €1.6m unrealised cost that does not impact on the operation.
According to the report, staff costs at Parknasilla increased to €2.9 million in 2018 as the numbers employed at the popular hotel and resort rose to 94 from 90.
KERRY’S future solicitors can now take entrance exams in a more timely and effective manner.
On January 1, new regulations came into operation that mean Kerry’s future solicitors can now take the Final Examination First Part (FE-1) earlier in their studies.
The FE-1 is the entrance exam to the Law Society’s Professional Practice Course. This exam ensures that trainee solicitors – who can come from all backgrounds, degree or no degree – start their practical training in the Law Society with a consistent standard of knowledge in the core eight subjects.
Trainee solicitors will also be able to sit and pass fewer exams in their first attempt and have a longer timeframe to pass all eight core subjects.
“These new regulations will reduce barriers and provide greater access to the profession for trainees across diverse educational, professional and socio-economic backgrounds,” explained Law Society Director of Eduction TP Kennedy.
“A longer time-frame to complete FE-1 exams provides a more open and practical approach to these exams,” he added.
“These changes adapt to the modern needs of trainees and help accommodate candidates who may not have been able to study for and sit three exams or more at a time, because of time restraints to study, travelling to sit them or other commitments,” said Mr Kennedy.
Further information on the changes is available at www.lawsociety.ie.