Bernard J. Durkan
Question:152 Mr. Durkan asked the Minister for Finance his proposals to reduce inflation other than that reflected through the consumer price index; and if he will make a statement on the matter. [2689/05]
View answerTuesday, 1 February 2005
Questions (153)
Written answers
The Director General of the Central Statistics Office has sole responsibility for, and is independent in, deciding the statistical methodology and professional standards to be used in compiling the consumer price index. The index is designed to measure the change in the average level of the prices paid by consumers for goods and services. It measures in index form the monthly changes in the cost of purchasing a representative basket of consumer goods and services.
I welcome the downward trend in the rate of consumer price index inflation last year. The 2.2% increase last year was the lowest rate of increase since 1999. Maintaining a moderate rate of inflation remains a key priority of economic policy because of its importance in restoring competitiveness. I made no changes to indirect taxes in the budget and this will help to keep inflation low in 2005.