Bernard Durkan (Kildare North, Fine Gael)
Link to this: Individually | In context

Question 242: To ask the Minister for Finance the action he has taken to address inflation driven by high house prices which is causing difficulties for the business sector; and if he will make a statement on the matter. [39219/05]

Brian Cowen (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context

I am not clear as to what difficulties the Deputy is referring in his question. As regards inflation, the director general of the Central Statistics Office has sole responsibility for and is independent in deciding the statistical methodology and professional standards to be used in compiling the consumer price index, CPI. The CPI is designed to measure the change in the average level of the prices paid by consumers for goods and services. It measures in index form the monthly changes in the cost of purchasing a representative basket of consumer goods and services.

Maintaining a moderate rate of inflation remains a key priority of economic policy because of its importance in restoring competitiveness. I made no changes to indirect taxes in the budget and this will help to keep a competitive inflation environment in 2006.