A Westport Councillor is calling on Government to introduce two different VAT rates for the hospitality industry.

Fine Gael Councillor Peter Flynn believes hotel rooms being sold for €150 euro or less should be subject to the lower rate of 9%, while the higher VAT rate could apply to more expensive hotels.

The VAT rate for the tourism and hospitality sector was increased to 13.5% in the last Budget.

He's also proposing the introduction of a tourist tax, which would see visitors paying a small tax on their arrival at a hotel, which would be ringfenced for projects in that town.

Councillor Flynn's comments follow concerns expressed by the Restaurants Association of Ireland that one in 5 Irish restaurants could face closure in the event of a no-deal Brexit.

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