Vol. 570 No. 2
111 Ms B. Moynihan-Cronin asked the Tánaiste and Minister for Enterprise, Trade and Employment the action she intends to take arising from the recent Forfás survey showing that this country is now the second most expensive in the eurozone; and if she will make a statement on the matter. [18465/03]
I am acutely aware of the conclusions of the recent Forfás Consumer Pricing Report 2003. It should be noted that the report studied the inflation figures to year-end January 2003, when the annual inflation rate was 4.8%. The latest figures from the Central Statistics Office for May show a sharp fall in inflation to 3.7%, down from 4.3% in April 2003.
Notwithstanding this welcome downward trend, the Taoiseach and I have clearly indicated that the Government's target is to get inflation down to 2%. An anti-inflation group, chaired by the Department of the Taoiseach, has been convened under the new national agreement Sustaining Progress and will draw up and monitor progress on a detailed action plan on inflation. One of my officials is actively participating on this group, which has met three times and is due to meet shortly.
I am committed to bringing about more competitive pricing across the economy by facilitating increased competition. To this end, I have strengthened the powers of the Competition Authority to investigate price fixing and other anti-competitive practices. I support the work of the authority in conducting extensive examinations of the insurance and banking industries as well as many professional services, including the legal and medical professions.
Further, in order for competition to be effective, I am aware that consumers must be given sufficient information to enable them to compare prices. In this regard, I introduced new price display regulations this spring – European Communities (Requirement to Indicate Product Prices) Regulations 2002, S.I. No. 639 of 2002 – which clarify and underline the obligations of retailers and other traders to display legible and transparent information on prices to consumers.
I also see a key role for the consumer lobby in Ireland. I urge consumers to raise concerns they have regarding prices directly with retailers and suppliers and to be prepared to be assertive in shopping elsewhere if they are unhappy with the prices they are paying. To assist the consumer lobby, as provided in the 2001 budget, I oversee payment of an Exchequer grant of €63,000 per annum to the Consumers Association of Ireland, CAI. The purpose of this grant is to enhance the capacity of the association to act as a consumer watchdog, an advisory body and to represent consumers.
