The government has been accused of living in a parallel universe when it comes to Budget measures announced today regarding the cost of fuel and energy, with Aontú accusing the Coalition of failing to provide “help on petrol, diesel and green diesel”.
Party leader, Peadar Tóibín said that the Coalition “is not listening to the people” when the “biggest political issue for the last six months has been the cost of fuel and the cost of energy,” and that there was “no fuel help for workers travelling to work” or for “farmers producing food”.
He said it was “absolutely frustrating” to see what had been offered in the Budget, saying that when consumers out €100 of petrol into their cars in the morning €45 of that would still go to the government in taxes – and that Irish consumers still had the highest electricity costs in the European Union.
However, Minister for Finance Simon Harris said today that the Government could not achieve everything it wanted in a single Budget but said today’s measures would set the country “on a path, a trajectory, a way forward”.
Cuts to excise duty (mineral oil tax) were due to be reversed # at the end of July 2026 but an extension is now in place until February 2027. Planned carbon tax increases will also be suspended.
Meanwhile, both Independent Ireland and Aontú have hit out at the reduction in the Budget allocation to agriculture, saying farmers are clinging on by the skin of their teeth.
Deputy Michael Fitzmaurice slammed what he said was a budget that left people standing still – while Independent Ireland Spokesman on Social Protection, Councillor Shane P O’Reilly, said that the Government once again raised expectations while failing to address the structural pressures facing older people, disabled people, families and those on low incomes.
Aontú TD for Mayo, Paul Lawless said there was “a €73 million reduction in the total envelope allocated to agriculture and the fact that there has been no reduction to tax on green diesel.”
Speaking today, Deputy Lawless said: “This year has been a crisis for Irish farmers. Irish farmers are clinging to their land by the skin of their teeth in many cases. The sharp and dramatic rises in input costs, the lack of proper government supports coupled with an unusually dry summer and the ever looming threat of Brazilian beef has caused panic and uncertainty across the sector. A recent opinion poll found that one in three farmers in Ireland plan on leaving the sector in the next five years”.
“Today’s budget does little to address input costs. The overall envelope given by the Minister to the Department of Agriculture is down by €73 million on last years’ budget allocation. This is €150 million when we factor in inflation. This cut is completely unacceptable and comes at the worst time. It will have ramifications for farmers over the next twelve months,” he said.
“The other scandal of this budget is that it does little to reduce the cost of green diesel. The subsidy scheme is being extended but we all know how flawed that subsidy scheme is, wrapped up in paperwork, undersubscribed and unfair in how it is calculated. If farmers had been given a choice between the extension of this scheme or a tax reduction or price cap on green diesel they would have chosen tax cuts. The government needs to outline clearly how this €73 million reduction will affect farmers and the department” concluded Lawless.
However, the Minister for Finance said “this Budget is about helping people who work hard to get ahead, not just get by. We want people to feel the benefit of hard work in their own pay packet by rewarding hard work and cutting the costs of everyday life, childcare, and energy.”