(Cavan-Monaghan): When we reported progress I was dealing with the definition of lodgings which is given in section 1 as affected by subsection (3). I was pointing out that the net effect of the definition and of subsection (3) is to provide that registered guest houses will be subject to rates and people providing lodgings or keeping paying guests in houses or buildings which are not registered pursuant to the Tourist Traffic Acts of 1939 to 1975 will be liable for rates. I said then, and I want to say now for greater clarity, that I entirely agree with the thinking behind the Bill and with the provision in the Bill that derates unregistered tourist accommodation known as town and country house and farm house accommodation. I am in entire agreement with that: it is a good idea. To do otherwise would be to put out of business a great number of these people, who are doing a very excellent job in providing farm house accommodation and town and country accommodation if they were to attract rates simply and solely because they engage in this business. But I also believe that the small registered guest houses should also be exempt from rates. A registered guest house may have as few as five bedrooms set apart exclusively for guests, but it would be subject to rates under the Bill. Those listed as town and country accommodation or farm house accommodation may have as few as three bedrooms set aside for guests. Therefore, we are differentiating between establishments with three bedrooms set aside for guests and establishments with five bedrooms set aside for guests. We are exempting the former from rates and imposing the rates on the latter.
I said this morning that I feared that the effect of this would be to discourage the registered guest house. From some little research that I have made since I find that 25 guest house proprietors who were registered for 1977-78 are not registering for 1978-79. Presumably this is because they were influenced to a considerable extent by the knowledge that by ceasing to be registered they would be free from rates. There are not too many of these registered guest houses in this country. There are only somewhat more than 300. There are innumerable registered hotels but I am talking about registered guest houses and I am told there are only something like 300 of those in the country. It would be a mistake to encourage these people to cease to be registered and to go one step further down the ladder. I do not know whether the Minister has considered this definition of lodgings in subsection (3) and its effect. I do not know whether he has discussed it with his colleague, the Minister for Tourism and Transport, or Bord Fáilte but would certainly like to have his views on the remarks I have made.