Irish Hairdressers Federation seeks 9% VAT rate in pre-Budget submission

The Irish Hairdressers Federation (IHF) has put forward its pre-Budget submission ahead of Budget 2026, which is taking place on 7 October.

According to the industry body, it is asking for a range of measures that are simple, but vital for the survival of salons and the protection of jobs in the industry.

It is requesting:

• The 9% VAT rate to be restored permanently, as without it, many salons will face closures in 2026.
• National minimum wage to be linked to inflation as increases must be sustainable for small businesses.
• No further increases to statutory sick pay until a full review is carried out.
• A cut to employer PRSI, especially for new hires, in order to make it affordable for salons to take on staff and apprentices.
• Insurance reform.
• Energy supports, or an assurance that energy companies pass on savings.

The IHF said that the industry employs 30,000 people, and personal services contribute just under €2bn to the Exchequer every year. It noted that 90% of its workforce is female, and salons are essential anchors in towns, villages, and cities.

Without action, the shadow economy will grow, costing the exchequer millions and putting the future of apprenticeships at risk, it added.