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

Question 254: To ask the Minister for Finance if he has identified the issues currently contributing to the loss of price and cost competitiveness and consequent job relocation; and if he will make a statement on the matter. [8210/06]

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

Inflation here is running at close to historically low levels. The level of employment is at an all-time high and the unemployment rate is the lowest in the EU. The Deputy's concerns therefore are misplaced. Nonetheless, it is vital to retain competitiveness and this Government's policies are aimed at this, via correct fiscal policies, no excise increases and the progressive removal of barriers to competition in the economy which will be reflected, in due course, in prices at retail level.

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

Question 255: To ask the Minister for Finance his efforts to date in determining the cause or causes of inflation not reflected in the CPI but deemed to be a contributory factor in the growing lack of competitiveness; and if he will make a statement on the matter. [8212/06]

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

The Director General of the Central Statistics Office, CSO, 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 ensure relatively modest inflation in 2006.