People Before Profit’s Bríd Smith TD has said figures supplied to her from the Department of Finance show how miserly the recently announced package of help for consumers struggling with energy costs and inflation actually is.
The figures show that the government collected more VAT on energy bills in 2021 than the cost of the €200 grant per bill payer announced by the government recently.
The energy measures, including the once off payment for fuel allowance recipients, is to cost €430 million. VAT collected for all of last year amounted to €481 million.
She said: “The figures show that with hikes over recent months the VAT returns for this year will be much larger than last year’s €481 million. It highlights just how poor and temporary the help afforded to hard press consumers from government actually is.
“I really don’t believe the government actually get just how hard-pressed people are in relation to food inflation, energy costs or rents. The measures announced by government are a sticking plaster on a gaping wound.”
The TD said that allied to the enormous profits being posted by Ireland’s generators and suppliers of electricity it showed that it was not simply international fluctuations in gas prices that were driving rising costs on people.
We have control over 70% of the cost of energy in this country- the government cannot just shrug its shoulders and blame gas prices.
The TD called for a more sustained package of support including moves to further reduce public transport cost and a widening of the criteria for the fuel allowance as well as meaningful steps toward rent caps.
