Cork tourist tax urged to help fund local services

A tourist tax on hotel stays should be introduced to help fund local services, a Cork city councillor has said, calling on the Government to give local authorities the power to levy a small nightly charge.

Fine Gael councillor Shane O'Callaghan said a tourist fee on hotel stays could generate millions in revenue for Cork City Council, with the funds raised being used for local essential services.

Tourist tax measures are in place in 21 out of the 27 EU member states.

Mr O’Callaghan told The Echo that a tourist tax could generate a new source of revenue for the city council.

“In Cork, I think we should look at a tourist tax of €1 or €2. But the only way to do that is for the Government to legislate to allow councils to introduce it if they so wish," he said.

"This would increase the amount the council can spend on public services like road and footpath resurfacing, between hedge cutting and housing maintenance.

“It would also ensure that we don’t need to increase commercial rates for the foreseeable future and perhaps even the possibility of reducing commercial rates.

“It would bring in a massive stream of extra revenue. You are talking about of €1 or €2 extra a night for tourists who are already forking out hundreds of euro."

Mr O'Callaghan added: “This isn’t a radical idea. Local tourist taxes are already in place in most European countries.

“Including countries like France and Italy, which heavily rely on the tourist sector and it doesn’t seem to have made any noticeable decline in those countries.

“I am not saying we should do it. But each council should have that option. Central government are always talking about the need to devolve more powers to local authorities.

“Now is a golden opportunity for them to do something like that.

"By allowing local councillors to decide whether first of all to introduce it, then if so what the rate should be and what it should be spent on.”