Euro-sterling Parity Could Cost Drinks Sector €130m, Warns DIGI
Drinks Industry Group of Ireland (DIGI) has warned that the euro-sterling parity could cost Ireland’s drinks and hospitality businesses in the region of €130 million in lost revenue.
DIGI’s latest report, The Economic Impact of Brexit on the Drinks and Hospitality Sectors, authored by DCU economist Anthony Foley, estimated that a surge in cross-border shopping could cost the economy tens of millions before the end of 2017.
Donall O’Keeffe, secretary at DIGI and chief executive, Licensed Vintners Association, said that the drinks and hospitality industry is feeling the tremors of Brexit.
Excise Tax Reduction
Ahead of Budget 2018, DIGI is calling on the Government to 'enact a number of pro-enterprise measures, including reducing alcohol excise tax by 15%'.
“By lowering the financial burden of excise tax, drinks and hospitality businesses will be able to focus on becoming more price competitive, and investing in their products and services. This will allow them to win back cross-border shoppers and entice British tourists to Ireland." O'Keeffe noted.
“This Government must prioritise protecting the Irish industries that are disproportionately exposed to Brexit, like drinks and hospitality.”
The warning, issued today by DIGI, follows a recent CSO report that implicates cross-border shopping in the decline in state revenue take.
© 2017 - Checkout Magazine by Donna Ahern