A proposal to cut the VAT rate to 9 per cent for restaurants and pubs is being welcomed.

Fine Gael Senator Garret Ahearn wants it slashed for them, but not for hotels.

It's after the rate went back up to 13.5 per cent for the hospitality sector last year.

Restaurants Association Chief Executive Adrian Cummins says the 9 per cent VAT rate is really needed.

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