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10th Feb 2022

Government’s cost of living package won’t “scratch the surface”, says Sinn Féin

Stephen Porzio

“People need support and they need it now.”

Sinn Féin Deputy Leader Pearse Doherty has said that the Government’s new cost of living package is “not going to scratch the surface of what needs to happen”.

The Minister made the comments as details of the package, which is designed to ease pressure on the public caused by rising living costs, are set to be announced later on Thursday (10 February).

It has been already reported that the package will include a mix of both targeted and universal measures.

It is expected that one of them will include a rise in the electricity credit to each household, possibly doubling it to €200.

Speaking during Leaders’ Questions in Dáil Éireann, Doherty said that for the past year Sinn Féin has been calling on the Government to “get a grip” on the cost of living crisis.

“What has the Government done? Well, yous have certainly talked a lot about it in the last number of weeks,” he told Tánaiste Leo Varadkar.

“But it appears that what you’re about to announce a package of measures that will only scratch the surface.

“What people are telling me is that this Government simply doesn’t get it, that the Government doesn’t understand the challenges facing ordinary workers and families,” Doherty continued.

“If you needed an example of that, it’s this: we had a Minister go on national radio telling people to stop complaining while behind closed doors, Tánaiste, you, the Taoiseach, the leader of the Green Party and your Cabinet colleagues signed off on an €86,000 increase for a senior public servant who is now on a salary of nearly €300,000.”

Doherty then highlighted how the Government announced the electricity credit of €100 last year and that it still has not been delivered.

“People need support and they need it now,” he added.

“Rising prices affect everybody but it doesn’t impact on everybody equally.

“Low and middle-income households spend more on heating their homes, on feeding their families and on rent than those in the top and they do so with less money.”

Doherty called for the Government to introduce a direct cost of living cash payment of €200 for individuals on incomes of €30,000 or less and €100 for those on incomes between €30,000 and €60,000.

He also reiterated calls from his party for one month’s rent to be put back into renters’ pockets, for rent increases to be banned for three years and for the increase in oil and gas prices from May to be halted.

Varadkar replied that the Government knows that the cost of living is rising and that inflation is running at around 5% currently.

“As far back as last March, before you were, I was signalling concerns about the fact that a period of inflation was likely to arise,” he told Doherty.

“As far back as last June, I was advocating for a tax welfare and pensions package in the budget, which other people – including your party – opposed at the time.

“The Government acknowledges that the cost of living is rising, that it’s biting people. It’s hurting people in the pocket.”

Varadkar then said that the Government has been acting “to try and cushion the blow”.

“So, in the budget… we had a €1 billion cost of living package… we’re now going to add to that today through an additional package.

“The budget package and the package that we’re going to announce today will be worth somewhere in the region of €1.4 to €1.5 billion.

“That is considerable. That is a lot of money that the government is saying we need to give back to people to help them with the rising cost of living,

“But I know as well as you do, that no matter what we announce today, it’s not going to be enough,” Varadkar added.

“Your press releases are already written… I could write it for you. In fact, it was probably written days ago.

“It’s so easy for any opposition party to say they’re going to do twice whatever the Government is going to do but people see through that and they know it’s not honest.”

Doherty then replied:

“You talk about a package in the region of €400 million. That is not going to scratch the surface of what needs to happen.”

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