Hoteliers are 'cautiously optimistic' about the recovery of the tourism sector, according to the Irish Hotels Federation.
At its 85th annual conference today, the IHF said that the industry has witnessed "unprecedented upheavals" over the past three years with a number of challenges still remaining.
"While we saw a welcome uplift in tourism activity during the last 6 months of 2022, significant uncertainty persists this year in relation to the global economy - particularly given the challenges we face around the cost of doing business, high levels of inflation, increasing interest rates and an ongoing cost-of-living crisis across key overseas markets," said Denyse Campbell, President of the IHF.
The IHF said the drop in booking from Great Britain is of particular concern, with forward bookings still below pre-Covid levels for 60% of hotels.
"Traditionally Ireland's largest source of overseas visitors, Great Britain continues to face very significant economic headwinds, and this is having an impact on the outlook and levels of forward bookings," Ms Campbell said.
"The rest of Europe is also challenging while the prospects for North America are brighter this year," she added.
On a more positive note, 54% of hotels and guesthouses are planning to increase employment levels this year.
"At the heart of every successful hotel and guesthouse are its people, and supporting and developing them is key to our long-term success," Ms Campbell said.
"We are encouraging people of all ages to consider a career in the hotel sector. There are an enormous variety of career paths and training opportunities that are constantly evolving in our sector. It is an ideal time given the wide range of exciting options available for people at every stage of their working lives," she added.
Meanwhile 85% of hotels are planning to invest in refurbishment and additional capital expenditure over the coming year - making up for lost ground since the beginning of the pandemic in 2020.
Ms Campbell noted that sustainability is a major focus for the sector with 67% of hotels planning to invest in sustainability initiatives this year while a further 25% are actively exploring options for potential investment in this area.
Key priorities include renewable energy and heating, energy efficiency, retrofitting of buildings, waste reduction and water conservation.
"Needless to say, our industry has been through an exceptionally difficult period, but we are now beginning to see a cautious optimism for tourism as hotels look to invest in their businesses and product development this year with a particular emphasis on investing in our people, sustainability and business development," Ms Campbell said at today's event.
