Owners of Twilight Coffee & Bunkhouse in Carnlough, County Antrim, report that the 20% VAT rate combined with rising costs leaves independent hospitality businesses with minimal margins. Robert and Tiffany McKay state their operation struggles to cover taxes while maintaining viability.

The couple note that increased expenses lead to higher prices, which reduce customer numbers. In response, businesses shorten opening hours and cut staff shifts. This limits hiring and workforce entry opportunities.

Robert and Tiffany McKay highlight that Northern Ireland's 20% VAT rate hampers competitiveness against the Republic of Ireland's 13.5% rate for hospitality, planned to decrease to 9%. They predict fewer tourists will visit due to price differences across the border.

The owners affirm their commitment to paying fair wages, using local produce, and providing quality service. They face pressure to review pricing ahead of April, potentially raising costs.

Twilight Coffee & Bunkhouse opened in October 2019 in Carnlough on the Antrim Coast. The business offers coffee, locally baked goods, and budget accommodation for tourists.