A Clare Government TD has described as “stark”, new figures which show that Ireland will witness inflation levels not seen since the early 80s.
The ESRI has released it’s Quarterly Economic Survey which predicts that economic growth will fall and inflation could hit 8 an a half percent by the summer.
The Economic and Social Research Institute has found that inflation could hit 8 and a half percent by the summer, before averaging out at 6 point 7 per cent across the year .
Its latest Quarterly Economic Survey anticipates that disposable incomes cold fall on average by between 2-3%
But the ESRI is also forecasting a small surplus in the public finances of €1.1 billion this year compared to a previously forecast deficit of €4.8 billion.
The report notes that only 6% of Ireland’s petroleum imports come from Russia but it accounts for 67% of our coal imports and 26% of fertilisers.
Connor O’Toole of the ESRI’s Economic Think Tank says the Russian invasion of Ukraine will have a negative impact on our economy but Ireland will see growth this year.
Clare’s Independent TD believes a failure to tackle the root causes such as housing and energy provision has brought us to this point.
Michael McNamara says we need to plan now for a secure source of energy in Ireland and while he acknowleged that plans for renewable energy such as offshore wind at Moneypoint will be key to that, it won’t happen overnight.
The Scariff Deputy also says the Government isn’t delivering enough houses and must come up with a plan for the state or local authorities to build housing units.
Clare’s Fine Gael TD says rising inflation already gripping the world as it emerges from the pandemic has been exasperated by Russia’s invasion of Ukraine.
Joe Carey insists the Government has been taking steps to reduce the cost of living and is trying to do more.
But the Clarecastle TD says they’re awaiting guidance at European Level and even with that, there’s only so much the Government can do.