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Dáil
‹ Ceisteanna ó Cheannairí - Leaders' Questions

Airbnb and rural tourism

Summary

Deputy Collins argued Airbnb hosts are vital rural tourism businesses and should be supported, not hampered. The Taoiseach replied that the Government had already supported tourism and small businesses, including hospitality grants and energy-efficiency support.

The Taoiseach has publicly stated that he supports the hardworking, local businesses that employ many people in rural towns and villages. Airbnb hosts also fall into the category of hardworking local businesses. They form the bedrock of visitor accommodation in rural and coastal areas across the island. For example, their contribution to the success of the Wild Atlantic Way, now in its tenth year, is beyond question. The extra footfall and spin-off spend generated by their guests is essential to the survival of local businesses and their employees. The guests eat in cafés, restaurants and pubs, go kayaking, whale watching and hill-walking and visit distilleries and museums. That is not just in west Cork; it is across our island. In 2023, tourism generated €12 billion, 2.5% of Ireland's GDP, and supported 5.1% of the national workforce. The Wild Atlantic Way alone generated €3 billion. Airbnb hosts also provide accommodation to allow people to relocate and engage in remote working. They also facilitate contract workers on weekly assignments and agency healthcare staff.

Airbnb hosts in rural and coastal areas are fearful of losing their livelihoods if the proposed registration of short-term lets requires planning compliance within a six-month period, with no clarity as to what this would entail. Many hosts who are over 55 host in their own homes and depend on this essential source of income in locations where employment prospects are scarce. This allows them the dignity of creating their own jobs while working from home and reducing their carbon footprint, which is a constant cry from this Government. To date, neither the Minister for housing nor the Minister for tourism has properly engaged with these thousands of hosts in the short-term rental sector as recognised stakeholders. The Minister, Deputy Catherine Martin is said to be bringing forward a report soon. How can she do this when she has not consulted with the people who could be most affected?

The Government's decision to railroad with these proposals through will have devastating consequences. The Government must immediately decouple the planning requirements from the new register until it has produced reliable data on the actual type and pattern of short-term rentals in Ireland. Thousands of Airbnb providers need the Taoiseach to recognise that the proposed legislation in its current form could kill Ireland's tourism and the livelihoods of thousands of rural employees as early as 2025. Airbnb hosts are not the solution to the housing problem. They are the solution to a thriving local and national tourism economy, supporting local jobs for local people. Does the Taoiseach understand the crisis these hosts are facing? What is his solution to the thousands of top-quality tourism providers who may face being wiped out due to these new proposals.

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Catherine Connolly An Leas-Cheann Comhairle Independent

Go raibh maith agat. Just a gentle reminder to everyone, I have my phone on silent mode.

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An-chiúin ar fad.

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Simon Harris The Taoiseach Fine Gael

Go raibh maith agat, a Leas-Cheann Comhairle. I thank Deputy Collins for raising this issue. This Government certainly understands the challenges being faced by the tourism sector and small and medium businesses. That is why we have taken a number of measures in recent weeks to further support them, whether that is in terms of the doubling of the cost of business grant for people in the hospitality and retail sectors, the expanded energy efficiency grant or engaging with them on issues like the cost of business and some of the matters I referred to when I was talking to Deputy Bacik earlier.

I am sure the Deputy also understands this. When I was in his constituency during the local and European election campaign, I met people in Kinsale on the main street who came up to me and said, "Simon, there are a lot of places here that are vacant, Airbnb and the likes, and my young person cannot get anywhere to rent or live." This is about a balanced approach. Let me say this: I agree with the Deputy that we should not pit one challenge against another. There is absolutely a need for a tourism ecosystem. The latter is absolutely vital to constituencies like his and to our country. There is absolutely a need to have short-term lets that people can rent when they come here on their holidays. There is a need to support the bed and breakfast sector. All of that is true. However, There is also a need to have some form of structure around what constitutes a short-term let and what constitutes a house or apartment that is available for a young person or anybody else to rent or buy.

I ask everybody to wait and see the detail. People will not have to wait very long because the short-term letting and tourism Bill will be brought to Government very shortly. We are fully aware of the sectoral concerns around the impact on rural tourism. I say that seriously and sincerely. Those concerns will be assessed and considered by the Government. A critical piece here is trying to balance local housing needs and tourism and economic needs. We have got to get that right. The intention behind the proposed Bill is to provide a statutory basis for the establishment of a register for short-term lets in Ireland and to implement the EU short-term rental regulation which was adopted by the European Union on 11 April last. We intend to approve the draft Bill shortly and then publish a final version.

I am aware of a letter I received earlier today - I certainly saw it today - from a number of tourism and hospitality sectoral organisations including the Irish Tourism Industry Federation, the Irish Self-Catering Federation, the Vintners Federation of Ireland, the Restaurants Association of Ireland, the Association of Visitor Experiences and Attractions and Ireland's Association of Adventure Tourism. That letter has been copied to a number of Departments. We will of course respond to each of the issues that has been raised there. This is about trying to put a regulatory structure in place and identifying what is a short-term let and what is available for people to rent. It is important to get this right. There would, quite rightly, have been requests on this from those on the Opposition and Government benches. Often Deputies on all sides of the House raise this during Questions on Policy or Legislation. It comes up a lot in constituency offices.

Let us not create a bogeyman here. We are not trying in any way, shape or form to do down the tourism sector. We rely on it. It is extremely important in all parts of this country, urban and rural. We will get it right. We are also seeing under Housing for All that this is an important measure to have that structure in place.

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