Senator Erin McGreehan has this week in the Seanad outlined her position in relation to the Government’s decision to increase the excise duty on fuel.

The Senator stated that she “supported the calls not to increase the excise duty on petrol and diesel. I urge the Department of Finance to have another look at this issue because of a potential negative effect it will have on many businesses in Louth and along the border”.

There are two excise duty increases scheduled for April and August and Senator McGreehan believes that the “decision needs to be reviewed in light of the decision of the British chancellor that he has postponed increases on fuel excise duties for 12 months.The differences in prices at the fuel pumps between Ireland and the North could potentially put fuel retailers operating at a huge disadvantage.

One of the key concerns surrounding the proposed increase in fuel excise duty was the possibility of trade displacement along the border, particularly in regions where customers might seek cheaper fuel options across the border.

The implications of customers choosing to purchase fuel north of the border could have resulted in the Irish exchequer losing out on valuable revenue streams, ultimately affecting the economic viability of retailers along the border.

She continued “by refraining from increasing the excise duty on fuels, the Government would demonstrate a commitment to protecting many small businesses. We know that they are dealing with huge costs at the minute, and I know from speaking to many small business owners that they are at breaking point. This would be an extra burden for many to carry”