In the face of elevated inflation costs and increased fuel charges, nine in ten people (90 percent ) believe that the Government should continue providing energy credits for households, with most contending that these supports should continue throughout the summer, rather than recommencing in autumn as has been suggested.
In Taxback’s latest Taxpayer Sentiment survey, which polled approximately 2,000 taxpayers from around the country, just 10 percent of people said they don’t think the energy credits should be reinstated at all.
Thus far, Irish households have received three lump sum credits to the value of €200 each, totalling €600. These payments were made between November 2022 and April 2023. However, they are not set to continue.
“Everyone is feeling the pinch as rising costs are making it ever-more expensive to heat homes, do the weekly shop and fill the car with fuel. The weather is improving slightly as we move towards the summer months however, this doesn’t have an immediate impact on people’s finances. People are only receiving their Winter or early Spring bills now and recent price hikes are filtering through.
Adding to people’s financial stress, is the incremental return of excise duty rates on petrol and diesel which are set to be fully restored from October 31 ,” .Marian Ryan, Director of Taxback commented
The Taxback survey also found that 67 percent of people were in agreement that the Government should continue with the current reduced excise rates on petrol and diesel and not restore them to their original state, stating that struggling families and businesses need the continued support to survive. A further fifth (21 percent ) of taxpayers said that energy companies now need to step up and reduce prices for households and business.
“The return of excise duty norms poses a serious risk to households as they continue to grapple with higher energy costs. Although some people might try to cut back on using the car in the summer months by biking or walking to work and school, for a lot of people, this is simply not possible. Families living in rural locations will be particularly hit with these reinstated prices”.
“The cost of electricity has doubled for Irish households in the past two years. Electricity prices in Ireland are the highest in Europe – almost double the European average .
And the restoration of excise duties throughout the year will add to transportation costs for Irish households.
With this in mind, perhaps there is some merit in the Government taking heed of the public’s called for sustained financial supports. Because without them, people could be at serious risk of falling into unmanageable debt,” Ms. Ryan added.
