Niamh Smyth (Cavan-Monaghan, Fianna Fail)

I move amendment No. 1:

To delete all words after " Dáil Éireann" and substitute the following: "notes that the Government;

— recognises concerns with regards to the rising cost of groceries and the financial pressure on households;

— shares the commitment to ensuring fairness, transparency, and competition in the retail sector; and

— are actively progressing a range of targeted measures to support consumers and strengthen regulatory oversight;

in this context, notes that the Government proposes the following targeted actions, to strengthen transparency and protect consumers:

— with regards to strengthening the Competition and Consumer Protection Commission (CCPC's) powers, and in line with the Programme for Government, progress legislative reforms to enhance the CCPC's enforcement powers, including the ability to impose stronger sanctions for breaches of consumer protection law, and this will ensure that anti-consumer or exploitative practices can be tackled more effectively;

— with regards to leveraging the CCPC's State of Competition Analysis, the CCPC's ongoing State of Competition work provides a robust evidence base to assess market dynamics in all sectors and identify where policy interventions may be required, and the Government will continue to engage with the CCPC on the potential for further analysis of pricing and margin trends, where appropriate;

— with regards to the CCPC's 2023 High-Level Analysis of the Irish Grocery Retail Sector, has sought an update to the findings, which found no evidence of market failure or excessive pricing, and highlighted that food inflation in Ireland has been among the lowest in the European Union, and this is expected in the coming weeks; and

— with regards to Consumer Empowerment Measures, will continue to support public awareness campaigns and digital tools to help consumers compare prices and make informed choices.".

I thank our colleagues in the Social Democrats for their motion. Before I go to my notes, I could not disagree with what Deputy Whitmore said in her opening remarks. You walk into a supermarket, come out with a handful of items and will have spent €50 or more. I appreciate that is a huge challenge for parents. In today’s world, to have parents going without feeding themselves to ensure their children are fed is very difficult.

The Government acknowledges the concerns raised in the Private Members’ motion tabled by colleagues in the Social Democrats regarding the rising cost of groceries and the increasing financial pressure experienced by households across the country. We recognise that food inflation, while moderating in recent months, has had a tangible impact on the cost of living for many families, particularly those on fixed and lower incomes. Ensuring that consumers are treated fairly, pricing is transparent and competition in the retail sector remains robust are all priorities that we share with the proposers of this motion. We are committed to taking meaningful action to support consumers and to ensure the regulatory framework governing the grocery sector is fit for purpose. To that end, the Government is actively progressing a range of targeted measures designed to enhance transparency, strengthen enforcement and promote fair competition. These measures are being developed in close consultation with regulatory bodies and stakeholders and are grounded in evidence-based policy analysis.

However, while we acknowledge the underlying objectives of the motion, we are unable to support it in its current form. We are opposing the motion for several substantive reasons which I will outline in detail. First, a number of the proposals contained in the motion duplicate or overlap with initiatives that are already in place or are currently being developed across Government. These include actions being undertaken by the CCPC, the Agri-Food Regulator and the Department of Enterprise, Tourism and Employment. Each of these bodies plays a distinct and complementary role in monitoring price practices, promoting transparency and enforcing consumer protection legislation. The CCPC, for example, has a statutory mandate to investigate anti-competitive behaviour, assess market dynamics and ensure that consumers are not misled or exploited. It is active in this space, including through recent enforcement actions and market studies.

The Agri-Food Regulator, established under the Agricultural and Food Supply Chain Act 2023, has been granted significant statutory powers to collect, analyse and publish data on prices and market conditions across the agrifood supply chain. These include the ability to identify and address unfair trading practices and imbalances in bargaining power, particularly in business-to-business relationships between producers, processors and retailers. The Government is fully committed to supporting the regulator to exercise its mandate.

Second, the motion proposes mandatory publication of full audited financial accounts for grocery retailers with annual turnover exceeding €10 million. While we understand the intention behind the proposal to increase transparency and accountability, it is important to note the proposed threshold does not align with the EU-mandated company size classifications. Under EU law, company size categories are harmonised to ensure consistency across member states. The €10 million turnover threshold proposed in the motion would capture a significant number of companies that are currently classified as small enterprises under EU definitions. Imposing full audit and disclosure requirements on these businesses would represent a disproportionate regulatory burden, particularly for family-owned and regionally based retailers that operate on relatively narrow margins.

The motion’s reference to foreign operators raises additional legal and enforcement challenges. Many of the grocery retailers operating in Ireland are subsidiaries or branches of companies based in other EU member states. These companies are subject to the same harmonised thresholds and reporting obligations under their respective national laws. Attempting to impose additional or divergent requirements on them would create conflict within the EU internal market rules and expose the State to legal challenges.

Third, the enforcement mechanisms proposed in the motion, such as compulsory information requests and expanded investigative powers, could place a significant administrative burden on retailers, particularly small- and medium-sized enterprises. As currently drafted, the motion does not differentiate between large multinational chains and smaller independent retailers. The lack of proportionality risks diverting resources away from core business activities and increasing compliance costs across the board. The Department of enterprise, and in particular the Minister, Deputy Burke, have carried out significant reforms with regard to reducing bureaucracy and red tape. The proposals in the motion would add an additional layer to independent businesses that already have significant concerns about the time and resources needed to run a small business in this country. These increased costs may ultimately be passed onto the consumer in the form of higher prices, therefore undermining the main objective of the motion, which is to reduce financial pressures on households. It is essential that the new regulatory measures strike the right balance between effective oversight and the need to maintain a competitive and effective retail sector.

Finally, the CCPC has advised my officials that its existing powers under the Competition and Consumer Protection Act 2014 are sufficient to analyse markets, request information for undertakings and take enforcement action where necessary. These powers have been actively used in recent years, including in high-profile investigations and prosecutions. In 2024 and 2025, for example, the CCPC successfully prosecuted several retailers for breaches of price indication and sale pricing regulations. In these cases, the courts ordered the offending retailers to pay legal costs and make charitable donations as part of the settlement.

As part of the Government’s broader action plan on competitiveness and productivity, we have committed to strengthening competition and consumer protection enforcement. The Department of Enterprise, Tourism and Employment is currently developing legislative provisions that will enhance the CCPC’s capacity to respond to evolving market challenges. It is intended to introduce turnover-based fines for serious breaches of consumer law, ensuring that penalties are proportionate to the scale of the offending business. These reforms are designed to ensure that the CCPC is equipped with the tools it needs to protect consumers without imposing unnecessary burdens on compliant businesses.

In light of the existing regulatory framework, the active enforcement of consumer protection law and the significant reforms already under way, the Government does not believe that the additional power proposed in the Private Members’ motion are necessary or proportionate. We therefore oppose the motion in its current form and recommend a more targeted, evidence-based approach to strengthening transparency and competition in the grocery sector.

To that end, I propose the following targeted actions to further support consumers and enhance oversight. In line with the programme for Government, we are progressing legislative reforms to enhance the CCPC’s enforcement powers, including the ability to impose stronger sanctions for breaches of consumer protection law. This will ensure that anti-consumer or exploitative practices can be tackled more effectively and with greater deterrent effect. The CCPC’s ongoing work on the state of competition in Ireland provides a robust evidence base to assess market dynamics across all sectors of the economy. We will continue to engage with the CCPC on the potential for further analysis of pricing and margin trends where appropriate. We will continue to support public awareness campaigns and the development of digital tools to ensure consumers can compare prices, understand their rights and make informed purchasing decisions. Empowering consumers with information is one of the most effective ways to promote competition and drive down prices.

In conclusion, the Government shares the concerns and motivation of the Private Members’ motion and we believe the most effective way to address these concerns is through targeted, proportionate and evidence-based interventions. We are already taking significant steps to strengthen consumer protection, enhance regulatory oversight and ensure that the grocery sector operates in a fair and competitive manner. We remain open to constructive dialogue with all Members of the House on how best to support consumers and promote transparency in the retail sector. However, we do not believe that the measures proposed in this motion, as currently drafted, represent the most effective or proportionate way forward. For these reasons, we will be opposing the motion and instead committing to a more balanced and strategic approach to reform.

See this speech in context