The rise in VAT will result in job losses in the hospitality, tourist and service sectors in Kerry.
That’s according to two business owners in the county, who were reacting to the latest hike.
From midnight the rate will increase to 13.5 per cent, affecting prices in restaurants, hotels, cafes, hairdressers and tourism operators.
Sean Taffe, who owns a number of hair salons in Kerry, says businesses across the county will close as a result of the increased rate.
Meanwhile, the increase in VAT will have a knock-on effect for consumers and businesses in Kerry.
The 9 per cent rate was introduced in response to the Pandemic and was extended twice due to the cost of living crisis which followed Russia’s invasion of Ukraine.
Johnny McGuire, owner of Bricín Restaurant in Killarney, says the return to 13.5 per cent, means it’s inevitable that the price for dining out will go up.
