We will take Leaders' Questions under Standing Order 36, with Deputy Mary Lou McDonald first.

Gabhaim buíochas leis an Ceann Comhairle. Last week, Bord Gáis announced massive price hikes for gas and electricity that will add a further €350 per year to the average gas bill and an €340 to electricity bills. This is the Government credit wiped out before it even arrives. Meanwhile, nothing has been done to cut the cost of home heating oil, which has doubled in 12 months. Workers and families have been hit by a barrage of energy hikes, with more than 30 in the past year. They are already struggling to keep up and have been left absolutely stunned by the scale of the latest increases.

Russia's criminal invasion of Ukraine has brought massive disruption and volatility to global energy markets. Everything that can be done should be done and must be done to mitigate the impact and to cut bills for hard-pressed households. The Tánaiste's Fine Gael colleague, the Minister for Finance, Deputy Donohoe, has stated that the Government has no plan to intervene with further measures before October's budget. October is seven months away. That is a very long time for households when every single euro counts and when the sky-high bills for rent, mortgages, groceries, childcare and insurance just keep coming. It is endless. Everything is going up and up, and nothing is coming down. People are living under real stress and pressure. Research from the Society of St. Vincent de Paul shows that many people are cutting back on essential heating and electricity use. Families are forgoing other necessities, including food. The head of the charity ALONE has said that many older people now choose between heating or eating. Nobody should have to make a choice like that.

We are aware that this is not the end and that there are more energy hikes coming down the tracks. The real impact of Russia's invasion of Ukraine on energy costs will not be felt until the back end of the year. We need to get ahead of this. We need to get on top of this crisis. People expect the Government to respond with a speed and urgency that matches the unprecedented difficulties they now face and to intervene with measures that will work in the context of getting energy bills down, keeping money in people's pockets and giving some breathing space. People need us and they need the Tánaiste to do this now. I understand that the Government cannot do everything, but it can do more. It must go further in order to cushion households from these hikes. Expecting people to wait for seven more months is just a non-runner.

Ní féidir le hoibrithe agus teaghlaigh coinneáil suas leis na harduithe fuinnimh seo. Tá sé ráite ag an Aire Airgeadais go mbeidh ar dhaoine fanacht go dtí an buiséad i nDeireadh Fómhair sula ndéanann an Rialtas gníomhú. Tá sé sin do-ghlactha. Caithfidh an Rialtas gníomhú inniu chun na billí fuinnimh a ísliú.

I am asking that the Government do two things, and do them urgently. First, I ask that it engage with the European Commission and remove VAT on energy bills for at least three months. Second, I ask that the excise duty on home heating oil be removed. These are two specific measures that will bring the cost of energy and fuel down for struggling households and businesses.

At the outset, I acknowledge the fact that energy prices are rising in Ireland. We are seeing an unprecedented increase in the cost of energy, not just in Ireland but also around the world. We see that in the increase in the cost of petrol, diesel, natural gas, electricity and home heating oil. That is really squeezing people. It is making bills very hard to pay and squeezing many households. It is affecting businesses as well, and those on the lowest incomes in particular. As the Deputy acknowledged, this increase is largely, if not entirely, being caused by factors beyond the control of those of us in this House or the Government. It is being driven by supply chain difficulties and a supply and demand mismatch linked to the pandemic. This has been exacerbated in the past few weeks because of Russia's war on Ukraine. The Government will do whatever it can to help people ease the burden. We cannot do everything, but we will do what we can.

So far, we have committed €1 billion to help people with the cost of fuel and energy. That includes the increase in the fuel allowance back in October. There was an additional increase of €125 for anyone in receipt of the fuel allowance, which people would have received in the past week. There was a reduction in excise on green diesel, diesel and petrol of 15 to 20 cent, which was done only last week. Over the course of the next few weeks, people will have €200 deducted from their electricity bill.

And 2 cent for the farmers.

That is €1 billion that has already been dedicated to helping people with the cost of fuel and energy. That is significant. Contrast that with Northern Ireland, where Michelle O'Neill has praised Sinn Féin for giving a €200 deduction to low-income households only, and nothing to those on middle incomes. Our response here has been much greater than the response in Northern Ireland, and by Sinn Féin in particular. It is pertinent to make that point given the contrast between what Sinn Féin does in the North, where it has to make decisions, and what it calls for south of the Border, where it does not have to make decisions, make anything add up, or even know whether something is legal. That contrast is apparent to anyone.

Of course the Government will give consideration to further actions we can take to help people and businesses with their bills. However, we need to be honest with people. We have already set aside €1 billion to reduce the cost of energy. That is already happening. We have to see what we can do beyond that that is affordable. There are many other demands on the public purse, as people will know. The budget is still in deficit so we have to bear that in mind as well. We also have to consult with the European Commission and our European partners because the VAT directive does not allow us to do what the Deputy has called for, which would have to be agreed at European level. As the Deputy will have learned a few weeks ago, what she has called for in the context of excise is also not possible because of the energy tax directive.

Yes, this is global. Yes, it is squeezing those on lower incomes in particular. Yes, there are international factors beyond the Government's control. Yes, yes, yes - but no, the Government should not sit on its hands. The Minister for Finance has said the Government will do nothing additional for the next seven months. I would like the Tánaiste to clarify that that is not the case and that the Government is going to do more. I have given the Tánaiste two concrete proposals on VAT and the excise duty on home heating oil. Both of these things can be done. The proposal in respect of VAT would have to be done in conjunction with the European Commission, but the Tánaiste should bear in mind that as far back as October 2021, and then again this month, the European Commission was very clear that it was providing toolkits to allow member states to intervene in precisely the way I am outlining.

I asked the Tánaiste to ensure the removal of VAT and of all excise on home heating oil. As the Tánaiste knows, there is excise on home heating oil. The homework has been done on that on this side of the floor. It is important the Government takes action because we all agree that people are struggling. I am making two clear proposals and I would like an assurance that, contrary to the assertion of the Minister for Finance, the Government will pursue these actions.

We all agree that households, families and businesses are suffering from the increase in energy costs. The Deputy mentioned the measures the Government has already approved and we all agree that this is greater than anything Sinn Féin has done in Northern Ireland. That is being seen in the reduction in excise on petrol and diesel; in the €200 being taken off people's electricity bills; and in the increase in the fuel allowance that people have received in recent weeks. Some €1 billion has been allocated to help families and ease the burden of the cost of high energy and that is what we have done to date. We need to be honest with people about this; all we can do is ease the burden. We will examine additional measures, in co-operation with the European Commission and the European Union, to help families and businesses a little bit more, and that is part of the discussions that will take place in Brussels later on this week.