The Irish Tourism Industry Confederation (ITIC) published an eye-catching report on Thursday that found that Ireland was among the top five costliest European destinations when it comes to accommodation, food, beverages, and getting from place to place domestically. That’s not good news if Ireland wants to win back its full share of tourism in the post-pandemic recovery.

Ireland is the priciest European nation for alcohol, more than twice the European average. It’s the second most expensive for transport; the third-most expensive for food and non-alcoholic beverages; and the fourth most expensive for restaurants and hotels.

For example, the average cost of Irish hotels has risen by 21.4 percent from €136.71 in May 2019 to €165.97 in May 2022, according to global hospitality analytics company STR.

Costs are partly being driven up by a reduced supply post-pandemic and from the housing of Ukrainian refugees, reduced staffing because of a labor crunch which means not all occupancy can be served, and soaring costs for energy that are being passed along to consumers.

“”With the reduced tourism VAT rate of 9% scheduled to revert to 13.5% in February 2023, Ireland will be amongst the top rate for visitors on accommodation and food across Europe.” — ITIC report

The Irish Tourism Competitiveness Report (Free, no downloads)

Tags: ireland, news blog, tourism