Many families are facing a cost of living crisis. They are burdened with the highest mortgage rates in the eurozone and among the highest rents, childcare, insurance and utility costs in the world. On top of this, there have been more than 30 price-hike announcements from Irish energy suppliers this year. The Government's proposed response is to add to the cost of living by increasing the carbon tax yet again in this year's budget, pushing an extra €1.50 on a fill of motor fuel, an extra €13 on the average gas bill and an extra €20 per tank of home heating oil. Does the Minister accept that many families simply cannot afford these price hikes, which in turn will be subject to VAT? Will the Government commit to scrapping the proposed carbon tax hike considering that many of those who will be impacted most have no alternative but to use their current car or heating system?

An increased price of living will be factored into our considerations when the Government announces a budget next week. The carbon tax measure, as the Deputy should know, is a climate action measure that is a medium-term measure, which is about giving a price signal over a ten-year period, not a one-year period or a six-month period-----

So you are pushing ahead with the carbon tax.

It is about giving a signal to people of the need to move to alternatives to fossil fuels and I think that is sound policy. Of course we have to look at ways by which we can support people through the transition particularly at a time when the price of carbon-based fuels, gas in particular, is increasing the way it is at the moment. We will factor in that, in terms of the supports that will be available next week.