Ms Michelle Murphy:

We were clear at the time that one-off measures will not work. That is why we are very clear on the issue of benchmarking to 27.5% of average weekly earnings, a €25 minimum increase in core welfare rates and then indexation to the minimum essential budget standards.

On the issue of subsidies, we have been supportive of the carbon taxes and the carbon taxes increases. However, we said that mitigating measures needed to be put in place for low-income households and we have not seen them to date. One issue that we have consistently highlighted is the issue of the fuel allowance and looking at the OECD recommendation to de-link it from fossil fuels and expand eligibility. Targeted policies that can support different households at different times between now and 2030 will be needed. Environmental subsidies and the issue of jet kerosene are key. There is certainly a role for this committee to be looking at those subsidies and for the Government to look at which subsidies are aligned with our climate goals and which are not. Subsidies provide a wider fiscal space to the Government so it does not have to introduce new environmental taxes or levies. It can simply use the fiscal space available within those subsidies and invest that money into supporting households that are in energy poverty and into funding a just transition. It gives much more budgetary space.

I am aware that the issue of jet kerosene requires agreement on the EU level and beyond. We have been consistent in calling for an aviation tax in the interim period and we will be calling for that again in our budgetary proposals to make that industry make a contribution to our climate targets. Given the discussions we have around the other sectors - other parts of transport, agriculture and the housing sector, for example - every other sector is making a contribution. There should not be a sector that is not making a contribution, given the polluting nature of that sector.