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Taoiseach Miche\u00e1l Martin said the Government was \u2018conscious of fiscal sustainability\u2019 (Niall Carson\/PA)<\/p>\nThe Government is conscious of \u201cfiscal sustainability\u201d in its response to the fuel crisis, the Taoiseach has said, as he defended a recent package of measures for the transport and agriculture sectors.<\/p>\n
The Government has already announced measures worth more than three-quarters of a billion euros in response to the fuel crisis arising out of the war in Iran, largely aimed at the transport and agriculture sectors.<\/p>\n
The overall package also contains cuts in excise on petrol and diesel, and extensions of the fuel allowance.<\/p>\n
Taoiseach Miche\u00e1l Martin said the Government was \u2018conscious of fiscal sustainability\u2019 (Niall Carson\/PA)<\/p>\n
Miche\u00e1l Martin defended the measures on Monday, saying it was \u201cessential\u201d that Government enabled food production, adding that modern-day trade was dependent on hauliers.<\/p>\n
He said: \u201cWe are conscious of fiscal sustainability, and the need to make sure that whatever we do is fiscally sustainable over the medium-term.<\/p>\n
\u201cAnd again we have to, from a strategic perspective, we do have to pivot more to renewables because that ultimately is the way to reduce cost for the country overall, and also independence of supply.\u201d<\/p>\n
Speaking to reporters in Dublin, he said: \u201cWe want this war to end because wars of this kind create shocks.<\/p>\n
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Martin, centre, said it was \u2018essential\u2019 that Government enabled food production (Niall Carson\/PA)<\/p>\n
\u201cWe\u2019re already getting feedback from the construction sector that additional costs are beginning to feed in there.<\/p>\n
\u201cSo we\u2019re doing our best as a Government to try and alleviate pressures on families and on key sectors of the economy.\u201d<\/p>\n
Elsewhere, the T\u00e1naiste said he wanted October\u2019s Budget to progress commitments on income tax changes.<\/p>\n
Simon Harris told reporters in Drogheda: \u201cI do think one of the ways you help people during a cost-of-living crisis is allow them to keep some of their own money.<\/p>\n
\u201cThere\u2019s clear commitments around income tax, and I\u2019m determined that we make progress on them.<\/p>\n
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Tanaiste and Finance Minister Simon Harris was preparing to publish the Spring Economic Statement (Brian Lawless\/PA)<\/p>\n
\u201cWe didn\u2019t last year. There has to be a personal income tax package, in my view, in the Budget this year.\u201d<\/p>\n
But Harris warned that the world was at an \u201cextraordinarily volatile time\u201d, as he prepared to publish the Spring Economic Statement on Tuesday.<\/p>\n
Asked how Government\u2019s worst-case scenario for the war in Iran would impact on the Budget, he said: \u201cThe good news is the Irish economy is expected to continue to grow in all scenarios, albeit at a slower rate.\u201d<\/p>\n
The Finance Minister said \u201cthank God\u201d for Ireland having a surplus and fiscal buffers as he drew comparisons with other European countries who borrowed as part of their response to the fuel crisis.<\/p>\n
\u201cEven in the various scenarios, we will be able to plan for a budget in October which will seek to make sure work always pays, that we can keep our economy secure and safe, and that we can also make further interventions if we need to.\u201d<\/p>\n
Asked if the \u20ac750 million in measures already announced meant that other supports such as energy credits were now ruled out, Harris said: \u201cNo, it\u2019d be foolish to rule anything out, quite frankly.\u201d<\/p>\n
We’ve got to make sure that we have economic firepower… to respond in the winter to deliver a good budget, to deliver a budget that can advance commitments in the Programme for Government, but also a budget that can help people if this crisis is continuing<\/p>\n
Finance Minister Simon Harris<\/p>\n
He said: \u201cThe Government has to take this step by step, because we\u2019ve got to get the balance right, the balance between trying to help people in the here and now \u2013 because it\u2019s tough for people.<\/p>\n
\u201cThat\u2019s why we took the decision to reduce the excise on diesel. Prices would have been a hell of a lot higher had we not made that intervention. Same for petrol.<\/p>\n
\u201cThat\u2019s why we put in place a package for farmers, for hauliers, for farm contractors.<\/p>\n
\u201cBut we\u2019ve also got to make sure that we have economic firepower, if you like, to respond in the winter to deliver a good budget, to deliver a budget that can advance commitments in the Programme for Government, but also a budget that can help people if this crisis is continuing.\u201d<\/p>\n
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Taoiseach Miche\u00e1l Martin (left) and Housing Minister James Browne attend a sod turning ceremony for Richmond Village housing development in Fairview (Niall Carson\/PA)<\/p>\n
Martin said it was a \u201cstretch\u201d to suggest the Government is facilitating war in the Middle East because of US military planes flying over Ireland.<\/p>\n
It comes after the Department of Foreign Affairs cited \u201can administrative error\u201d for underreporting the number of such overflights since September.<\/p>\n
Martin said: \u201cI\u2019m concerned with the administrative error in the Department of Foreign Affairs. That\u2019s not normal for the Department of Foreign Affairs \u2013 it\u2019s a very efficient, professional department.<\/p>\n
\u201cThey\u2019ve expressed regret in terms of that, and again, the particular circumstances governing those flights, the department would engage with those who are overflying.\u201d<\/p>\n
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