June 18, 2009
Ryanair announce cuts
Ryanair has today announced cuts to its winter based aircraft, flights and jobs at Dublin and Shannon airports, blaming the effect of the Irish Government's 10 tourist tax.
Figures from the airline indicate that traffic at Dublin Airport has shown a 11% decrease in the first five months of 2009, a figure amounting to a loss of one million passengers.
As a result, the airline has announced a 25% reduction in Shannon-based aircraft; a six percent cut in Dublin-based aircraft; a cut of 36 flights per week at Shannon; a cut of 44 flights per week at Dublin; the loss of 650 airport and tourism jobs; and the loss of 750 million in tourism spend.
In regard to the Irish Government's tourism tax, Ryanair's Michael O'Leary said: "The Irish Government's 10 tourist tax is 'tourism suicide' which is devastating visitor numbers and jobs. Price sensitive visitors are switching to lower cost destinations in Europe where governments welcome tourists, not tax them.
"Ryanair will remove one aircraft from both Dublin and Shannon this winter and further cuts can be expected in the coming months if the 10 tourist tax is not scrapped. If the tourist tax is scrapped these cuts, and the tourism collapse, we be reversed.
"This tourist tax will raise just 125 million per annum and for this tiny tax revenue the Irish Government will lose over 2,500 jobs and more than 750 million in tourism spend, the VAT receipts on which would exceed 150 million."
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