Rising costs and uncertainty in the planning system is impeding the delivery of new hotel beds, the lobby group said. Photograph: iStockHigh building costs and planning delays represent a “serious threat” to the Irish tourism sector, the Irish Hotels Federation (IHF) has warned. IHF chief executive Paul Gallagher said the “long-term success of Irish tourism depends on our ability to offer high-quality, approved accommodation across every county”, while speaking at the federation’s conference. He warned that Irish hotel operators, despite having growth ambitions, are facing “significant hurdles that make it difficult to bring new projects to fruition”. These respondents cited the gap between per-room build costs and return on investment as a major or significant barrier.

Source: The Irish Times February 24, 2026 07:31 UTC