Dáil Éireann Debate, Tuesday - 21 April 2026
450. Deputy Pearse Doherty asked the Tánaiste and Minister for Finance if he will support a loan moratorium for the duration of the energy crisis, particularly for sectors hardest hit by the increased cost of fuel; and if he will make a statement on the matter. [26928/26]
Amharc ar fhreagraSMEs are the lifeblood of the Irish economy. They account for 99.8% of all businesses in Ireland and 66.9% of all employment in the business economy. The Government is acutely conscious of the pressure that businesses and individuals are experiencing as a result of the conflict in the Middle East and its impact on the cost of fuel.
From an Irish perspective, we approach this period from a position of economic strength. Nonetheless, Ireland is not immune from the impact on the global economy. This is an extraordinarily challenging time and an extraordinary energy shock. That is why we have put in place a range of temporary and targeted measures, which will reduce the cost burden at the petrol pump, support those most at risk of energy poverty, and assist key sectors that are critical to keeping our economy moving.
The combination of measures announced on 24 March and those announced on 12 April provide for temporary reductions in the rates of Mineral Oil Tax (MOT) applying to petrol, auto diesel and Marked Gas Oil (MGO), and are in effect until 31 July 2026.
The rate of MOT was reduced on a VAT inclusive basis by:
• 25 cent per litre for petrol
• 30 cent per litre for auto diesel, and
• 5.4 cent per litre for MGO
To provide targeted relief to haulage and passenger bus operators, I increased the maximum repayment allowable under the Diesel Rebate Scheme, from 7.5 cent up to 12 cent per litre of diesel. This applies to diesel purchased from 1 January 2026 until 30 June 2026.
To further support these sectors, the Government will be establishing a new road transporters support scheme, RTSS. This will be modelled on the licensed haulage support schemes of 2022 and 2023. The RTSS will provide direct payments to haulage and coach operators. Payments will be graduated, with smaller businesses receiving a proportionately greater level of support.
For coach operators that provide Local Link and school transport services, a separate support measure relating to the contractual arrangements of those operators will be introduced. The combined cost per month of these supports to the transport sector is estimated at €40 million.
The increase in the carbon tax on natural gas, solid fuel, MGO, kerosene, heating oil and other relevant fuels that was due to take effect on 1 May has been deferred until 14 October, at an estimated cost of around €22 million.
To further ease the financial impact of energy price inflation, the Government has temporarily reduced the National Oil Reserves Agency (NORA) levy from 2 cent per litre to a nominal amount.
In addition, a package of supports for the agricultural sector has been put in place by the Minister for Agriculture. A comprehensive €100 million fuel subsidy support scheme will assist farmers, agricultural contractors and fishers facing unprecedented increases in fuel costs. Farmers and agricultural contractors will benefit from a support rate equivalent to approximately 20 cent per litre on MGO use on the basis of verified fuel consumption in 2025. This targeted and practical support package does ensure those most exposed to these increases will receive meaningful assistance at the most critical time of the year.
To further support households, the fuel allowance season was extended by an additional four weeks. This means that the 470,000 households in receipt of the fuel allowance receive additional financial support of €152 (€38 per week).
While the Government continues to monitor developments, we consider that these measures are an appropriate intervention for the areas in which is there is most acute pressure and challenge. This is a comprehensive package of support well in excess of what many other European countries have done per head of population.
There are various independent mechanisms in place to aid borrowers in their dealings with lenders. The Financial Services and Pensions Ombudsman (FSPO) is an independent, impartial, fair and free service that helps resolve complaints from consumers, including small businesses and other organisations, against financial service providers and pension providers.
Furthermore, the Central Bank of Ireland has a number of measures in place specifically to protect and support the interests of businesses. Banks must follow regulations set out in the Lending to Small and Medium-sized Enterprises Regulations 2015 (the SME Regulations).
These set out the required treatment of SMEs by regulated entities in relation to various aspects of business lending. This includes detailed provisions around the credit application process, requirements regarding security or collateral, credit refusals and withdrawals, handling complaints, managing arrears and having in place policies for engaging with SMEs in financial difficulty.
