The Restaurants Association says the 9 percent VAT rate has seen the creation of over 31 thousand jobs.
The RAI has published a report extolling the virtues of the reduced rate - and urging the Government to keep the low rate for the hospitality sector.
The 9 percent VAT rate was introduced in July 2011 - having previously been 13.5 percent.
The RAI says there are now 136,537 people directly employed in accommodation and food services - with almost 10 thousand knock-on jobs.
The Association also says the lower VAT rate has brought in added tourists.
