It's been claimed that hotels in the North West are suffering at the hands of the current VAT rate.

It comes as the Enterprise Minister has criticised hotels in Dublin for 'inflating' their prices for large events.

Peter Burke says it's something that will be addressed in October's budget.

Local Hotelier and Cathaoirleach of the Donegal MD Cllr Michael Naughton says hotels in Capital is not doing anyone in the industry any favours: