THE scale of the challenges facing hotels and guesthouses across the country has been laid in a new report by the Irish Hotels' Federation.

Energy price hikes of over 400%, linen costs up 29%, food up 22% and beverages up 12% in the last 12 months are taking their toll on accommodation providers country-wide, the IHF has warned.

They say Government support in tomorrow (Tuesday's) Budget is critical to offset the "immediate financial shock" that businesses in every village, town and city in Ireland are experiencing currently.

They also say now is not the time to increase the 9% tourism VAT rate, which would only add to inflationary pressures in the system.

Aidan Quirke is the proprietor of The Round Tower hotel in Ardmore in Waterford and is also a local representative for the IHF.

He spoke to Damien Tiernan on Deise Today this morning, including about the massive hikes his own business has endured in energy prices in the past 12 months.

You can listen back to the interview by clicking the link on the image above...