Dáil debates
Tuesday, 17 June 2008
Leaders' Questions
4:00 pm
Brian Cowen (Laois-Offaly, Fianna Fail)
The fact is that oil prices are higher due to rising commodity prices in general. If we use the taxation system as a means of assistance, we will provide benefit to the producers and not to the consumers. The benefit will go to those who are already getting a higher price for their product. The Deputy is making the point that there is a windfall available to the Government, but that is not the case. The overall reason for that is very simple. If people have a set disposable income, while they must pay more of that on petrol than before, they still have only the same income to spend. The fact that more of it is being spent on petrol does not mean that there is a windfall available to the Government, as the overall consumer spend is the same. A greater amount is spent on petrol and that is what is causing hardship in certain sectors. That is why there has been a meeting between Ministers and their representative bodies.
No comments