Dáil debates

Tuesday, 25 January 2022

Ceisteanna ó Cheannairí - Leaders' Questions

 

2:10 pm

Photo of Alan KellyAlan Kelly (Tipperary, Labour) | Oireachtas source

I honestly do not think that the Taoiseach is living in the real world. We all know international factors are at play, but that is not the whole story. It is the Taoiseach's job to deal with them international factors impacting families and workers in this country and with what is real. The €113.50 credit that has been announced is a joke. It is tokenistic and is actually insulting. Inflation is at a 20-year high of 5.5%. Let that figure settle in, and its impact, especially the impact it will have over the next four to five months.

The Governor of the Central Bank of Ireland yesterday described recent energy price increases as "spectacular". I do not think the word was chosen lightly. The December consumer price index, CPI, was published last week, and over the past 12 months electricity prices have gone up 22%, gas price by 30% and home heating oil by 50%. This will add €1,300, or more, to bills annually. How many families can honestly absorb that?

Those higher prices are now also coming through in food bills.

The prices of bread, milk and butter have gone up by 10% to 30%. These are household staples. Even pasta has gone up 5% in the past two months. The day-to-day essentials that families rely on to feed themselves are also going up. The Irish Timesestimated yesterday that if a weekly shop climbed by €15, it would cost households €780 more a year. Add on to that diesel prices and the cost of petrol. This time last year a litre of diesel was €1.20; now it is €1.60. Adding all of those together, we have a range of €3,000 to €4,000 extra for families. How many families can absorb that? This is the question the Taoiseach has to answer.

There is no point in coming back to me and saying it is all international factors. I accept that a percentage of it is down to international factors. The Taoiseach still has to deal with it, even if it is. It is not an excuse we want; it is solutions. What the Taoiseach has proposed is not going to have an impact. The Government proposal on flexible working, which we do not believe is flexible enough, will ensure more people are commuting, spending on fuel and having to move into cities again. This will lead to an increase in rents and the Government refuses to bring in a rent freeze. It is not all about international factors. They are a component but ultimately the people of Ireland need solutions from the Government one way or the other. What are the Taoiseach's solutions? Will he look at a rent freeze? For some time we have pushed for a derogation on VAT. The Taoiseach should not tell me the Government cannot do it because I know it can.

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