Allianz and Afloat - Supporting Irish Boating

Ireland's sailing, boating & maritime magazine

In association with ISA Logo Irish Sailing

Taoiseach rules out IMF call for reduction in VAT

3rd December 2008

Taoiseach Brian Cowen has ruled out a reduction in VAT rates. The dismissal of the The Irish Marine Federation (IMF) suggestion was made yesterday in the Dail. The IMF last week called on government to immediately reduce the top rate of VAT in order to keep Irish boating businesses competitive.

The IBEC affiliated trade association expressed concern at the implications of the announcement by the UK Government that it intends to reduce the UK VAT rate by 2.5% to 15% with effect from 1 December.

Labour leader Eamon Gilmore askied if he would change the Republic's VAT rate. 'No' relpied Mr. Cowen. "The exchange rates is the determining factor rather than the VAT rate" he added.

The Federation, that represents, the marine leisure industry has also renewed its call for VAT on safety equipment such as lifejackets and radios to to be abolished.

"The decision by the UK Government to reduce their VAT rate to 15% makes Ireland less competitive in comparison to our nearest neighbour. The difference that a 6.5% VAT differential makes to large ticket items such as boats and equipment can be considerable. It will compound the problem of people crossing the border to shop" said Federation spokesman Mark McAuley.
"As a country we need to look at our VAT rate and consideration should be given to a lower rate as part of a package to stimulate the economy and reverse the decline in retail sales." McAuley added.

Comment on this story? Please let have your views! Comment below or in the online forum here Team

About The Author Team

Email The Author is Ireland's dedicated marine journalism team.

Have you got a story for our reporters? Email us here.

We've got a favour to ask

More people are reading than ever thanks to the power of the internet but we're in stormy seas because advertising revenues across the media are falling fast. Unlike many news sites, we haven’t put up a paywall because we want to keep our marine journalism open. is Ireland's only full–time marine journalism team and it takes time, money and hard work to produce our content.

So you can see why we need to ask for your help.

If everyone chipped in, we can enhance our coverage and our future would be more secure. You can help us through a small donation. Thank you.

Direct Donation to Afloat button

Featured Sailing School

INSS sidebutton

Featured Clubs

dbsc mainbutton
Howth Yacht Club
Kinsale Yacht Club
National Yacht Club
Royal Cork Yacht Club
Royal Irish Yacht club
Royal Saint George Yacht Club

Featured Brokers

leinster sidebutton

Featured Webcams

Featured Car Brands

subaru sidebutton

Featured Associations

ISA sidebutton dob
isora sidebutton

Featured Events 2021

vdlr21 sidebutton

Featured Sailmakers

northsails sidebutton
uksails sidebutton

quantum sidebutton

Featured Chandleries

CHMarine Afloat logo
osm sidebutton

Featured Marinas

dlmarina sidebutton

Featured Blogs

W M Nixon - Sailing on Saturday
podcast sidebutton
mansfield sidebutton
BSB sidebutton
sellingboat sidebutton

Please show your support for Afloat by donating