The government is fiddling around while energy prices are causing a crisis for many households.
They originally told us that the price hikes were ‘transitory’. Then they announced a tiny subsidy of €100 for electricity consumers. Next week the cabinet will come up with other proposals which we predict will be inadequate.,
The reality is this government is ideologically opposed to imposing regulation on market forces. It pretends that ‘nothing can be done’ because there is a global rise in inflation.
This is only an excuse to cover for their failure to intervene in the economy decisively.
People Before Profit has advocated three measures that could cut the cost of living for working people.
The government should impose a maximum price order on energy. Under Section 61 of the Consumer Protection Act 2007, they can issue emergency orders in relation to the supply of electricity, gas and home heating oil. Under Section 62 of the same act, they can fix maximum price orders.
They could direct the banks to reduce mortgage interest payments. Interest in Ireland is charged at more than double the average rate across the eurozone. The average interest on a mortgage taken out on October 2021 was 2.73 % whereas it was only 1.28% across the Eurozone.
They could bring in real rent controls that contain a facility for reductions on rent.
This government will take none of these measures because it opposes interference in the market. This is an ideology we can ill afford during this price crisis.