The operators of bed and breakfast accommodation have called for dramatic Government intervention in the sector, including the provision of tax breaks for upgrading facilities, in the wake of new figures which show a dramatic reduction in business over the past year.
Official figures released by the Central Statistics Office (CSO) yesterday show that there were 36 per cent fewer bednights spent in guesthouse and B&B accommodation in the last quarter of 2005 compared with the same period in 2004.
The CSO figures reveal that the number of nights spent in guesthouses and bed and breakfast accommodation by Irish residents fell from 2.2 million to 1.8 million between 2001 and 2005.
The chief executive of the Town and Country Homes Association, Alan Hill, said that the organisation, which represents 1,400 B&B owners, was surprised at the CSO figures.
He said that the 36 per cent reduction in bednights did not correspond with its own figures.
However, Mr Hill said that the sector was facing increased competition.
"The B&B sector now needs a dramatic intervention by the Government," he said.