Independent TD for Laois-Offaly, Carol Nolan, has called on Taoiseach Micheál Martin to take action against the soaring increases in the cost of living particularly when it comes to the carbon tax.

Nolan was speaking after the Taoiseach confirmed that the government will go ahead with the scheduled increase in carbon tax.

The TD said the government is “unaware” that its own imposed policies are creating a “cost-of-living spiral”. There is a kind of “well, this is tough but necessary medicine” approach, Nolan added.

Carbon tax

The TD stated that the government will continue with the annual carbon tax increase by €7.50/t.

She added that such a tax generates a “radically disproportionate set of negative consequences for low-income households”.

A carbon tax also creates price difficulties affecting the transport sector and within the farming community, since both rely on high volumes of fuel, Nolan said.

Approximately half of the current inflationary pressures are made up of fuel and electricity, according to the independent TD, who added:

“Families, farming, food production and businesses are all suffering due to high costs.”

This scheduled increase, as well as the increase on home heating fuels which will take place from Sunday, May 1, 2022, “must be immediately set aside”, Nolan stated.

Fuel and electricity are areas that could yield immediate beneficial outcomes through measured and sensible interventions by the government, she added.

The independent TD also commented:

“Instead of getting us out of this hole the government is taking action akin to sending in people with more spades to make the hole even deeper.

“There has been more price volatility in the 11 months between January 2021 and November 2021, than there has been in the previous 12 years combined.

“Tinkering around the edges will not cut it. We need decisive steps to be taken immediately,” Nolan concluded.