Louise O'Reilly (Dublin Fingal, Sinn Fein) | Oireachtas source

I am grateful for the opportunity to contribute regarding the summer economic statement. This discussion is of significant importance each year but in the current climate of high inflation and the largest erosion of living standards since the financial crash, it is of even more importance. As we discuss the current economic situation and the upcoming budget it is imperative that we focus on the cost-of-living crisis, the effects on ordinary workers and families and the costs to small and medium-sized businesses, which are still struggling to get back on their feet after the pandemic.

Just this morning, figures from the Central Statistics Office indicated consumer prices here rose by an average of 9.1% in the 12 months to June, the fastest rate of price growth seen in the economy since 1984. That is up from 7.8% in the year to May, which is staggering. Collectively this means Irish households are facing into the biggest cost-of-living squeeze in nearly four decades. Anyone who remembers the last one will know what that was like. All the indications are that this will be as bad, if not worse. If we cast our minds back to those times we can remember the news, with suicide rates rising and people freezing in their homes and people ringing the “Gay Byrne Show” to say they were getting on and off buses to try to keep themselves warm. There were pensioners struggling and put to the pins of their collars. I was only a child but I remember it. That was awful; this is likely to be even worse.

Sinn Féin has consistently proposed measures to address the cost-of-living crisis. We called for an emergency budget to address the most pressing issues affecting people, but this was spurned by the Government. The decision to bring the budget forward by two weeks was a tacit admission by Government that these are extraordinary times. Household energy prices have risen at phenomenal rates - electricity by 41%, gas by 57% and home heating oil by 102%.

I am not trying to place all the blame for such increases on the Government at all; of course not, but it could do more and it knows it.

The public, as with Members of the Opposition, are aware that high inflation has been driven by supply-chain bottlenecks due to the way the global economy reopened after the pandemic and the recent illegal Russian invasion of Ukraine. We know that and with the greatest of respect to the Minister and his colleagues, we do not need it repeated and explained to us every time. They can take it as a given that we read the newspapers as they do and we understand what is happening across the globe. However, we will continue to propose solutions and push for more to be done at a policy level where Government can have a positive influence to help ordinary workers and families. We know that the Government cannot do everything, but it can and should do more.

My colleague, an Teachta Pearse Doherty, has already mentioned that Sinn Féin has repeatedly and consistently called for an emergency budget, proposing sensible measures that would support lower- and middle-income households or as these people are now known thanks to this Government's policies, the working poor. We have proposed further reductions in the rate of excise applied to petrol, diesel and home heating oil; an increase in the minimum wage and a realistic plan to move quickly to a living wage; further reductions in the rate of excise applied to petrol, diesel and home heating oil; a refundable tax credit equivalent to one month’s rent and a ban on further rent increases; and a substantial reduction in childcare fees.

The Government’s response to the cost-of-living crisis has remained slow, piecemeal and inadequate. The focus of budget 2023 must be to support workers and families. However, we must also look at the plight of small and medium businesses. I was recently contacted by the owner of Wharton's, a small take-away restaurant in Bantry. She sent me a copy of two electricity bills, one from September last year and one from June of this year. In September 2021 her electricity bill for two months was €1,974.03, but in June 2022 her electricity bill was €4,230.33. That is phenomenal. I pay tribute to the owner for keeping the show on the road in the face of those increases. She wants to keep her business open, but she needs some assistance and she needs hope.

This is replicated across the board. I have received correspondence from shops, supermarkets and other small and medium-sized enterprises highlighting the financial pressure of running fridges and freezers to keep products fresh and frozen. Many business owners say that unless something is done, they will either dramatically reduce the number of fridges and freezers they have and only sell a limited number of products, or the next step is to close their doors.

There is time in advance of budget 2023 for the Government to listen to the Opposition, to listen to the trade unions, to listen to the public and to listen to the plight of SMEs in order to make sure the budget delivers for those most in need.

In the few seconds remaining to me I will relay to the Minister as I have done previously to some of his colleagues the contents of a letter sent to me by a constituent. When something in her house is broken it stays broken. That is it; no repair. The only bill she has that is in anyway flexible is her food bill which she had already cut. Her message to the Government is she cannot cut anymore. She needs help and she needs it now.

See this speech in context