Alan Farrell (Dublin Fingal, Fine Gael)
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78. To ask the Minister for Finance the considerations that his Department is giving with regard to further anti-inflationary measures; and if he will make a statement on the matter. [56476/22]

Michael McGrath (Cork South Central, Fianna Fail)
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It is important to note from the outset this Government has acted forcibly and decisively to help ease the burden of inflation on households and businesses across the country. Budget 2023 was a 'Cost of Living' Budget, incorporating a total package of €11 billion with the focus on protecting the most vulnerable from rising costs. This built on some €3 billion in measures introduced by Government over the course of last year.

It would be premature to take a decision on further policy measures before a full evaluation can be made of the performance of measures currently in place, the outlook for inflation this year and prospects for the public finances.

I would caution that excessive or poorly designed fiscal policies could backfire. In this regard, it is crucial that budgetary policy itself does not become part of the problem by contributing to an inflationary spiral, which would have severe consequences.

I would also emphasise that the majority of the cost-of-living measures introduced as part of Budget 2023 will continue to support households and firms over the coming months.

For example, the two remaining electricity credits, worth €200, and which amount to €0.8 billion in spending, will continue to be issued in the coming period, assisting households with their energy bills.

The Temporary Business Energy Support Scheme (TBESS), which provides relief to businesses struggling with rising energy costs, will remain open for claims until the middle of this year.

The €1.1 billion package of reductions in personal taxation as well as increases in social welfare payments provided for in Budget 2023took effect from earlier this month and are permanent.

In our response to the cost-of-living challenge, this Government has struck the right balance between providing necessary support without adding to inflationary pressures. Moreover, there is now compelling evidence to suggest that inflation has peaked, while it is notable that energy prices have fallen significantly from their highs last autumn. Any policy decisions must take into account these developments.