A fall in the number of hotel beds being used to house refugees and international protection applicants is 'a move in the right direction', a tourism body has said.
It comes as new Fáilte Ireland data shows the number of registered tourist beds under contract to the Government has fallen by over 15% in the past six months.
The analysis is based on data provided by the Department of Children and Integration and shows there are 77,315 beds under contract.
Clare is the only county with more than 20% of registered bed capacity.
![A concierge sign in a hotel reception in 1998](https://media.radiocms.net/uploads/2023/09/06083256/concierge-edit.jpg)
Meath, Louth, Mayo and Wicklow all have between 15% to 19% of registered stock under contract.
Irish Tourism Industry Confederation CEO Eoghan O'Mara Walsh told Newstalk Breakfast things are going in the right direction.
"We certainly welcome it," he said.
"Last November we were extremely worried about the number of hotels and guesthouses which were contracted to the Government for humanitarian reasons.
"Figures from Fáilte Ireland just realised this week show that the numbers have reduced which is certainly a move in the right direction".
Spending
Mr O'Mara Walsh said the change in availability of hotel beds will have knock-on effects.
"For every €1 a tourist spends on accomodation €2.50 is spent on ancillary tourism services [such as] restaurants, pubs, visitor attractions," he said.
"So that €2.50 was missing from tourism towns right around the country.
"Fáilte Ireland actually estimated that over an annual period it's costing the tourism economy as much as €1bn."
Mr O'Mara Walsh said more still needs to be done to free up hotel beds.
"There's still 77,000 tourism beds around the country which are contracted to the State so it's still far too much," jhe said.
"We'd like to see the diminution in State contracts continue because there's tourism towns right across the Wild Atlantic Way who still don't have an adequate supply of tourism beds.
"[These towns] will have very little tourism activity this summer".
Pricing
Mr O'Mara Walsh said a reduction supply will likely affect price but not as much as last year.
"This year actually the market is looking soft," he said.
"The American market is looking strong but Britain, Europe and indeed the domestic market is looking quite soft".
He added that the average room rate for hotel rooms has come down "marginally" since last year.