More than half of hotels have reported a decline in business during the summer season amid growing concerns in the tourism sector over Brexit and the decline in the value of sterling.

Three out of five hotel say that business fell off compared with the same period in 2018, though one in three reported an increase in trade, according to the Irish Hotels Federation.

President Michael Lennon said: “We are now at a crossroads and facing a number of pressing challenges, including serious risks associated with Brexit, the increasingly high costs of doing business in Ireland, and ongoing difficulties in attracting visitors to the regions and extending the short tourism season. 

“To help address these challenges, we are calling for additional supports from government to assist tourism businesses, including a restoration of the 9% VAT rate.”

Four out of five hotels say they have experienced a decline in business from Britain and  60% have seen Northern Ireland business decline.

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The breakdown of business levels in hotels and guest houses during the summer, as compared to that of 2018, was:

• Britain: 8% are reporting an increase; 78% are seeing a decrease and 14% see no change.
• Northern Ireland:  10% are reporting an increase; 60% are seeing a decrease and 30% see no change.
• United States: 36% are reporting an increase; 30% are seeing a decrease and 34% see no change.
• Irish domestic market: 45% are reporting an increase; 30% are seeing a decrease and 25% see no change.
• Germany: 22% are reporting an increase; 32% are seeing a decrease and 46% see no change.
• France: 17% are reporting an increase; 28% are seeing a decrease and 55% see no change.