The Irish Hotels Federation (IHF) has expressed concerns over the decision by the Commission for Regulation of Utilities to approve a 9.8% across-the-board increase in water charges for businesses.
Effective from 1 October, the federation noted that the increase follows an average hike of 30% in water charges for hotels, compared to this time last year.
‘Exceptionally Challenging’
“Over a two-year period, the average 70-bedroom hotel in Ireland will have seen an increase of over 40% in water tariffs,” said Michael Magner, IHF president.
“This is unsustainable, given the exceptionally challenging environment in which hotels and other hospitality businesses are currently operating.”
The IHF is the national organisation of the hotel-and-guesthouse sector in Ireland.
It represents over 900 hotels and guesthouses nationwide, employing over 69,000 people, and it is a key stakeholder in the Irish tourism industry.
‘Cumulative Impact’
“As a major consumer of water services, the hospitality sector is disproportionately impacted by increases in water tariffs, which businesses are unable to absorb,” said Magner.
“The cumulative impact of these and other cost increases now poses a serious threat to the viability of many businesses through our wider tourism-and-hospitality sector.
“It is now imperative that the government tackles these increases head on and delivers targeted measures to enhance cost competitiveness and support business viability.”
