In The News Does Dublin need a €5 tourist tax?
Mar 30, 2026
Olivia Kelly, Dublin editor at The Irish Times, explains the push for a tourist bed tax in Dublin and how it works across Europe. She outlines who wants the levy and why national legislation is needed. Olivia discusses proposed rates, revenue estimates and how councils might spend the money. She also covers collection methods, likely exemptions, political hurdles and public reaction.
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City Tax Is A Small Flat Fee Sent To Local Authorities
- Dublin's proposed tourist tax is usually a small flat fee added to hotel bills rather than a percentage of room rate.
- Olivia Kelly notes most European city taxes are nominal (often under €5) and typically go to the local authority for city services or tourist benefits.
Councils Need New Law And Fear Central Government Absorption
- Dublin local authorities want the revenue and need primary legislation before applying a tourist tax.
- Kelly warns councils would prefer money to go to local coffers rather than central government to avoid grant reductions.
Ringfence Revenue Or Councils Won't Back The Tax
- If legislation is drafted, specify who gets the levy and whether funds are ring-fenced to avoid central budget offsetting.
- Kelly suggests local councils would resist applying the tax unless they retain the revenue for local needs.