Restaurants, pubs and cafes could be in line for a cut in VAT.
Taoiseach Leo Varadkar says splitting the rate to help hospitality "warrants consideration".
The sector benefited from a 9 per cent VAT rate during the pandemic, but that was brought back up to 13 and a half per cent last September.
Senator Garret Ahearn says a cut to VAT should not apply to hotels:
"There are almost two sectors within the hospitality sector. We have hotels that are doing extremely well, that are charging high prices particularly in major cities in Dublin and Cork. But we have restaurants and pubs that are struggling".
