Cost of living and school costs
Deputy McDonald presses the Taoiseach on runaway prices, the cost of living and back-to-school expenses. The Taoiseach cites government supports, falling inflation and trade-led jobs growth, while Sinn Féin repeatedly challenges him and says families are under acute pressure.
As the Dáil prepares to rise now for the summer, the thing on everybody's mind is runaway prices and the sky-high cost of living. Working households really struggle now to make ends meet and they hear from the Taoiseach time and again as he digs in and refuses to include a cost-of-living package in October's budget. Today, a report published by the Irish League of Credit Unions reveals the big pressure on parents with the enormous cost of sending their children to school. This follows reports from the ESRI, Barnardos, the Society of St. Vincent De Paul and the Money Advice and Budgeting Service, MABS, all of which reflect the real, present and growing pressure on families. Yesterday, the Taoiseach described prices as being at a relatively elevated level. Those are his words. That was one for the books. Let me break it to him: prices are not relatively elevated, they are through the roof. The price of a litre of milk is now higher than a litre of petrol. People here pay among the highest energy prices in Europe and 450,000 customers are in arrears on their bills, yet the Government proposes to cancel their lifeline of energy credits. The Taoiseach and his Government have convinced themselves, in their own out-of-touch way, that things are not actually as bad as people make out. Well, they are. We are contacted day in, day out by people who are fleeced, stressed and pushed to the brink. I will share some of their experiences if the Taoiseach cares to listen.
Amanda says:
We constantly leave bills unpaid or late. The children wait weeks for new clothing and footwear. We both work fulltime. I spent over €220 on shopping last week. There’s nothing left to make a meal today as shopping day is tomorrow. We don't even have diluted juice left. Only for loans from my mother most weeks we would be hungry or sitting in the dark.
Fiona says:
My shopping now costs €300 a week! I used to get by on €200 a week. That’s a huge jump. I cannot believe I’m spending over €1000 a month on food!
Brian says:
It’s gone beyond a joke. We’re drowning trying just to keep a roof over the kids’ heads and put food on the table. Something has to change big time.
Joanne says:
Every time I go to the shop prices have gone up. €9 for a bottle of shampoo! Don’t get me started on electricity bills, the cost of sending the kids to school, or the price of fuel! Why are people going out to work at all?
Now, that is real pressure. Amanda, Fiona, Brian and Joanne speak to the real-life experience of tens of thousands - hundreds of thousands - of households. Then the kick in the teeth for people is that the Taoiseach flatly tells them the Government is not going to help when the State and Government clearly have the resources to help. There is a surplus of €8 billion and the Government proposes to throw ordinary working families under the bus now and come budget day. That simply cannot happen. Tá brú ollmhór ar theaghlaigh de bharr phraghasanna atá ag dul i méid arís agus arís eile. Caithfidh an Rialtas pacáiste costais maireachtála a chur san áireamh sa bhuiséad. On this, the Taoiseach's last appearance before the Dáil until September, I want him to clearly commit to including a comprehensive cost-of-living package in the budget.
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Admhaím go bhfuil brú. Gan amhras, tá brú ar dhaoine agus ar chosmhuintir na tíre maidir leis an gcostas maireachtála. Tá an-chuid déanta ag an Rialtas go dtí seo chun an brú sin a ísliú. An rud is tábhachtaí sna míonna atá le teacht ná cinneadh a dhéanamh infheistíocht a chur isteach in infreastruchtúr, cúrsaí tithíochta agus a lán nithe eile chun an brú sin a ísliú. Beidh sé sin á dhéanamh againn sa cháinaisnéis a bheidh againn i mí Dheireadh Fómhair. I dealt with this again yesterday. Deputy McDonald's assertion that the Government does not get it is wholly wrong. The Government understands there has been pressure since peak inflation of 10% coming out of Covid and as a result of the Russian invasion of Ukraine. This Government intervened, more than any other government in Europe, to alleviate pressures on households through cost-of-living packages and also through additional measures within budgets. We are facing a very difficult scenario in terms of the economic situation globally. The Deputy seems to be oblivious to the threats that are coming our way in respect of tariff wars or a dislocation in the global economy.
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We are well-placed to deal with it because of the surpluses we have and so on. We have taken fundamental measures such as the free book scheme, which Sinn Féin never mentions for some reason. That was a game-changer in terms of the costs that people have going back to school.
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The credit unions did that before.
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We did that a number of years ago and the finality of it will be this September. Every school now has free school meals. These were things that, up to three years ago, were not on the agenda and Sinn Féin ignores that. We have improved the situation regarding carer's allowance.
What we intend to do in the next budget is to mainstream provisions that will help people to deal with what is a high-cost of living, particularly in food prices. That said, inflation is coming down. It is at about 1.6% or 1.7%. We have the third lowest inflation rate in the European Union. We are mid-table in the European Union in respect of food prices, even though prices are still high and very high for beef and various other essential products people have to buy on an ongoing basis. That is acknowledged. It is also important, however, that we invest in people's future. We are going to transform infrastructure in this country because people need it with the population growth we have, which has been phenomenal in this country over the last two decades. For the first time ever now, we are back to the pre-Famine population on the island of Ireland.
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That is a positive but we have to provide for that as regards our water infrastructure, housing, energy infrastructure, public transport and roads. We are going to do that but there are limits to what any government can do.
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The Taoiseach should start driving the roads.
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Sinn Féin is a party of Opposition with no limits on what it would spend. In terms of expenditure, it does not matter. It is just whatever turns up on any day, it will spend a billion or two billion euro on it. That is its philosophy and mindset.
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Sorry, are you the guy who was giving bankers back their bonuses?
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Yesterday, in Dáil Éireann, I challenged the Deputy's party to say whether it would support the EU-Canada free trade deal, which has enhanced Ireland's exports.
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What has that to do with the price of butter?
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We were doing about €900 million in exports in 2016. We are now doing €4.1 billion, which is bread on the table of Irish working families. That is how you deal with cost of living, not being against trade deals of that importance and scale, which have real impact on the working lives of people.
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Níl cliú ag an Taoiseach agus níl suim aige ach an oiread sa bhrú atá ar theaghlaigh. The Taoiseach's answer demonstrates again that he could not care less. It is spin and rhetoric from the Government again. I raised this with the Taoiseach yesterday, I raised it today and I will raise it every single day I have to for as long as working people and families are under so much pressure that they wonder whether they can put a meal on the table for their children. I cited the evidence. Do not mind us as the Opposition. The League of Credit Unions, the Society of St. Vincent de Paul, Barnardos and the Money Advice and Budgeting Service are all dealing with this on the front line and the Taoiseach refuses to hear it. The Government has the resources to intervene and make a difference. Should the worst emerge in terms of tariffs, which I am very aware of, the real casualty again will be the Irish working class, Irish working people and young people-----
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-----because they have a Government that cares more about the high rollers, big bankers and squadrons of super junior Ministers than it does about struggling households. I cited real-life examples-----
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-----and I want a response from the Taoiseach for them.
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In the forthcoming budget, this Government will respond to those most in need. We will test Sinn Féin. This morning, I heard Sinn Féin's spokesman talking about universal benefits for the high rollers. That is what its spokesman, Deputy Doherty, said this morning, that he wants universal energy credits for the high rollers. I will test you and your commitment and principles. Will Sinn Féin agree to targeting and prioritising those in child poverty in the forthcoming budget? We will target and prioritise those most in need.
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Child poverty has doubled in a year.
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More fundamentally, the Deputy ducked and dived on the question of the free trade deal between Europe and Canada. It has brought huge benefits to working people in multinationals and Irish-owned companies.
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Sinn Féin's economic approach to trade matters in particular - it has opposed this trade deal for years and yesterday, it could not agree if it supported it or not - is a fundamental point.
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If we do not continue to expand and grow trade, we will reduce the capacity of ordinary working people-----
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What is more fundamental is your refusal to respond to the crisis in Irish households.
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Child poverty has doubled in 12 months.