Ceisteanna—Questions. Oral Answers. - Price of Bread.
asked the Minister for Industry and Commerce if he is aware that the increase in the price of bread is causing serious hardship, particularly to the poor; and what steps he proposes to take to relieve this hardship.
Comment on this
Following detailed examination of the bakers' claim for an increase in the price of bread to compensate for increases in wages and other costs and for the additional turnover tax, I raised no objection to a compensatory increase of 2d in the retail price of the 21b loaf, with pro rata increases for other bread units, from 1st May, 1970.
The Deputy will appreciate that, while an increase in the price of bread is regrettable, the extra costs which led to it are outside the bakers' control.
Comment on this
Would the Minister not agree that the most recent increase —and another one which, I am told, is to come later—is directly attributable to the turnover tax?
Comment on this
Even though the Minister says the increased price of bread contains an element for turnover tax, has the Minister received any complaints that the shopkeepers are charging turnover tax on the actual price of the loaf, in addition?
Comment on this
On top of that 2d, is the Minister aware that most people selling bread are in fact charging turnover tax on the new price of the bread?
Comment on this
Would the Minister have the matter investigated? He will find it very easy to get evidence.
Comment on this
I get the impression that .7 of 1d is humorous to the Minister. In other words, 50 per cent of the increase is attributable to the turnover tax. It is a major contribution.
Comment on this
The other part of the increase, attributable to labour and other costs, is 1.3d. On the Deputy's reckoning, that is 1d.
Comment on this
Would the Minister not agree that this very substantial increase, together with the increase which I understand is around the corner, will hit the poorer sections of the community?
Comment on this
I am conscious of that. That is why the Minister for Finance made such generous provision for that particular section of the community in the preparation of his Budget.
Comment on this
Would the Minister agree that the poorer sections of our community got at least 10s by way of increase? Therefore, they would need to eat 60 loaves per week to do away with that.
Comment on this
That is a fact. It would be no harm if the Members of the Opposition listened to what Deputy Power is saying.
Comment on this
Is the Minister aware that not alone is 2½ per cent turnover tax being imposed on the increased price of bread but in many cases five per cent and six per cent is being charged on the grounds that the shopkeepers, in the first instance, absorb the first increase of 2½ per cent turnover tax themselves? Now they are imposing at least six per cent on top of the actual price.
Comment on this
The Opposition cry out, on occasion, for the small shopkeepers; I cannot understand why the Opposition are now so anxious to nail the small shopkeepers here and to make false allegations against them.