Family farms 'being pushed toward insolvency' - TD
Aontú leader Peadar Tóibín has called for a carbon tax freeze following the recent rise in costs fuel and fertiliser costs.
The Meath West TD suggested “an immediate freeze on the upcoming May Carbon Tax hike and a reduction in fuel duties".
Deputy Tóibín said that government refusal to act is “driving a crisis” in energy and food affordability and is "damaging farm viability".
He added: "In just the last two weeks, the price of white diesel has surged by 35c per litre.
“This isn't just a market fluctuation, it is a direct hit to the solvency of every household and business in Ireland.
“Because VAT is a percentage of the final price, the state’s tax take has automatically increased by 8c per litre in that same 14-day window.”
‘Unearned windfall’
He added: “This is a massive, unearned windfall for the Department of Finance at a time when 300,000 families are in energy arrears.”
Deputy Toibín also said that the cost of filling a standard family car has now breached the €100 mark, “and a staggering €65 of that is straight tax”.
He described this as having a “devastating knock-on effect for the entire country”.
“We are seeing an estimated €1,000 annual increase in the average family grocery bill as transport costs are passed on at the checkout.
“Furthermore, this energy-driven inflation is forcing the ECB (European Central Bank) toward rate hikes that could add €60 a month to a typical €200,000 mortgage."
Farmers
Deputy Toibín said: “For farmers, the situation is critical.
“Between agricultural diesel spikes and energy-intensive fertilisers hitting €1,000 per tonne, the family farm is being pushed toward insolvency.
“Despite this, the government intends to proceed with a further Carbon Tax hike this May, which will add 17c to every litre of green diesel.
“If the government does not agree to a meaningful reduction and a total freeze on the upcoming Carbon Tax hike, our national supply chain faces a total shutdown."
He added: “The state cannot continue to accumulate record tax revenues while the foundational sectors of our economy from the grocer to the family farm are pushed over the edge."
Haulier meeting
Following a meeting at Leinster House today (March 19), between the Irish Road Haulage Association (IRHA) and Darragh O'Brien the Minister for Transport, Deputy Tóibín welcomed the engagement and called for the government to follow through with significant fiscal support for the sector.
The TD said: "I want to congratulate the IRHA delegation for their steadfastness in today's meeting.
"They have officially put the reality of the transport sector’s collapse directly onto the minister’s desk.”
“The minister has heard the hauliers demands clearly for a suspension of the carbon tax and deep cuts to excise duty."
He added: "Anything less than a concrete package of supports by next week will be seen as another empty promise by a sector that is currently being bled dry by the state."
