Irish Weddings and VAT Rate 2026

I’ve had quite a lot of messages the last couple of days from brides asking me about Irish Weddings and VAT Rate 2026. To be more specific, most want to know if they will or should get the VAT rate reduction rolled out to their wedding package. I’ve also heard from venues telling their couples it’s not going to be a viable option. On the other side of the aisle, I’ve had conversations with many venue owners and wedding-coordinators who are themselves trying to get their heads around the upcoming changes to the hospitality VAT rate.

So let’s take a moment to break this down and help you understand what this means for your wedding planning.

Photo Credit: Wild Feather Blooms

What is the change?

Here’s what we do know:

• Currently, the reduced VAT rate on food-led hospitality services is 13.5% in Ireland.
• The government has signalled plans to restore the lower 9% rate for food and catering services.
• That change is expected to take effect in mid-2026 (around July) rather than immediately.
• There is also a change on VAT rate on function and meeting rooms. It’s currently at 13.5% and that’s due to go to 23% from January. (More details to be confirmed)

So, yes, a reduction is coming (as long as the policy stays on track – the finance bill will be confirmed in January) but no it’s not a simple straight deduction of 4.5% across the board.

Why this matters (and what you need to know)

One of the key things I’m explaining to couples is this: even if (and that’s a big IF) your venue does pass on a VAT rate reduction, it will only apply to the portion of the package that is food. Many wedding packages are a mix: venue hire, décor, alcohol, food, entertainment, staffing, etc. Only the food/catering element qualifies for the reduced rate.

So if your package includes alcohol, décor, etc, then those parts are outside the scope of the food-led VAT change. This is why some venues are telling couples that passing on the reduction is not viable: because the margin on food may already be under pressure, and the rest of their cost base is still rising.

What I’ve heard from venues and coordinators

From discussions with venue owners and wedding coordinators over the last few months, a few themes keep coming up over the last year, irrespective of the Vat rate:

• Escalating costs are still very real: energy, staffing, beef, chicken, turkey, insurance…the list goes on! They are exposed to the same price sensitivities that many of you will see in your weekly shop and home.
• Wage pressure: There is going to be an increase in the minimum wage and hospitality is incredibly sensitive to the minimum wage government policies more so than most industries. When I was studying hospitality economics many moons ago, this was a huge piece and we know that the wage bill is fundamental.  
• Many venues feel that a VAT reduction on the food side may help, but it doesn’t offset all the cost pressures on other parts of the business, particularly the minimum wage status. From many I was talking to, they were planning on increasing package prices for 2027 weddings before the VAT rate was announced.
• Because of this, some venues may choose not to pass on the VAT saving to couples, or may only pass on a minimal portion.

In short, if you’re a couple hoping for a big drop in your wedding cost thanks to VAT, you may be disappointed because the industry is asking for the bandwidth to stay afloat, not necessarily to massively reduce consumer prices. Now, don’t get me wrong, I know many venues were quick to increase their prices when the Vat Rate went up this year.

I’ll be keeping an eye on how this policy develops and you can be sure I’ll update you all. XX