Energy Crisis: Irish Households Face Bill Hikes as Credits Cut
Irish households face significant electricity bill increases as government cuts energy credits, while Sinn Féin condemns energy companies for price gouging amid rising winter costs.
Irish households protest against energy price increases as winter approaches
Sinn Féin Condemns Energy Price Gouging as Winter Approaches
Irish households are bracing for significant increases in electricity bills following the government's decision to cut energy credits in Budget 2026's social welfare measures, sparking fierce criticism from opposition leaders.
Sinn Féin leader Mary Lou McDonald has launched a scathing attack on energy companies, accusing them of "brazenly ripping off customers in Ireland" as International Energy Agency reports reveal retail prices in Ireland are triple the wholesale rates.
"That's price gouging, plain and simple. A rip-off, plain and simple," McDonald declared, highlighting the energy companies' "bumper profits" at consumers' expense.
Budget Criticism and Cost of Living Crisis
The controversy comes amid broader criticism of the government's approach to the cost of living crisis, with the Budget facing particular scrutiny for favoring business interests over working families.
Previous energy credits worth €1,450 per household, introduced in 2022, have been completely axed, leaving many vulnerable as winter approaches. The last support came in Budget 2025, which provided two €125 payments.
Government Response and Public Reaction
Finance Minister Paschal Donohoe's defense of the government's economic strategy has met with significant public resistance, particularly during a heated RTE Radio 1 phone-in show. The decision to prioritize business tax cuts over household support has sparked particular controversy.
Key Budget Changes:
- VAT rate reduction to 9% for new build apartments
- Restaurant and café VAT cuts to 9%
- No income tax breaks for workers
- Elimination of energy credits and one-off bonuses
As winter approaches, concerns mount about the impact on families who will need to keep lights and heating on for longer periods, with no additional support measures in place to offset rising costs.
Van Morrison
Irish journalist exploring the intersections of politics, culture, and identity across Ireland and the wider Celtic world.