Tourism chiefs want Government action on the Dublin Airport passenger cap and taxes following a slump in January holidaymakers.
Official figures show overseas visitors to the Republic in January tumbled 25 per cent on the same month last year to 338,900.
The news sparked industry calls on the Government to tackle barriers to growth, including the bar on Dublin Airport handling more than 32 million passengers a-year.
State company DAA, the airport’s manager, suggested the fall in January tourists indicated the cap was “continuing to bite”.
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Eoghan O’Mara Walsh, chief executive of the Irish Tourism Industry Confederation, noted that normally just 5 per cent of visitors to the State arrive in January.
But he cautioned that the figures published on Thursday by the Central Statistic Office (CSO) marked a “soft start” to 2025 for tourism.
Mr O’Mara Walsh argued it underlined the need for Government to act on pledges to the sector, including lifting the Dublin Airport cap and cutting VAT charged on hospitality businesses to 9 per cent from 13 per cent. “We need action,” he said.
Taoiseach Micheál Martin told the Dublin Chamber of Commerce it would be “bad” if a limit imposed in 2007 closed the Republic’s main gateway to new business.
“The Government supports the lifting of this cap and we will do whatever we can to achieve this,” he said.
Planning appeals board, An Bord Pleanála, imposed the limit 18 years ago, as a condition of allowing Dublin Airport build its second terminal, to ease fears of traffic jams on local roads.
Sarah Ryan, director of communications at DAA, welcomed Mr Martin’s pledge.
“Nothing should be off the table as we look to unblock this impasse to protect connectivity and jobs,” she said.
Ms Ryan added that fresh thinking and practical solutions would allow DAA “crack on” with investment plans and keep the country’s main international gateway open.
Michael O’Leary, chief executive at Ryanair, argued that Dublin could handle 50 million passengers without the “idiotic and outdated” limit.
Regulators limited aircraft take-off and landing slots at Dublin Airport for the winter to ensure compliance with the passenger limit.
