Mineral Oil Tax: Financial Resolution Dail Éireann — 2026-08-28 ============================================================ Robert Troy (FF), Longford-Westmeath This financial resolution provides for an extension of the current temporary excise rate reductions on auto diesel and petrol from 31 August until 31 October 2026. This means the rates of mineral oil tax will remain reduced, on a VAT-inclusive basis, by 30 cent per litre for auto diesel and 25 cent per litre for petrol until the end of October. There has been a temporary reduction to the excise rate applied to marked gas oil and we are also acting to further extend the period of this reduction. The financial resolution introduces a revised schedule for the unwinding of these temporary measures on a graduated basis from 1 November onwards. Listening to some of the contributions from across the floor, people would be forgiven for thinking this involved the introduction of new taxes, not an unwinding of temporary measures that were introduced. As Deputies are all aware, we are living through a period of exceptional uncertainty and exceptional measures have been taken, not just by this Government but by governments across the world in response to heightened fuel prices. Let us look at prices across Europe today. The price of a litre of petrol in Denmark is €2.45, in the Netherlands it is €2.35, in Germany it is €2.25, in Finland it is €2.18 and in France it is €2.07. Those prices are all a lot higher than the price here, because of what we in the Government have been able to do to try to keep the cost below €2. As elected public representatives, we need to respond when and where necessary while ensuring we act in a way that is fiscally responsible. The Government recognises the continued financial pressures facing households and businesses arising from heightened fuel prices as a result of the conflict in the Middle East. As a Government, we stated at the outset of the conflict that we would monitor the situation closely and reserve the right to adjust our response as required, and that is what we have done. Decisions have been taken in real time with the data and information we have to hand, not based on predictions. Despite what the Opposition may suggest or try to insinuate, this Government has a strong and unwavering record of supporting our citizens through times of crisis and uncertainty. We did so in response to Brexit, throughout the Covid pandemic and following Russia’s invasion of Ukraine, and we will continue to do so as we navigate the ongoing and ever-changing situation in the Middle East. As recent developments highlight, the situation remains fluid. The wholesale price of oil and, importantly, of refined fuels, like petrol and diesel, continues to fluctuate and we can see this reflected at the pumps. As I have previously said, there will no doubt be further ebbs and flows before a new equilibrium is reached in global oil markets. Although there has been a slight easing in recent days, oil prices remain elevated and the situation remains highly uncertain. That is why we must continue to be flexible in our response. The Government will continue to support people when they need it, but that support must be delivered in a way that is prudent, sustainable and responsible. It is precisely because of the careful management of our economy by the Government and successive Ministers for Finance that we have the fiscal breathing room to intervene when crises arise and to protect households from the worst of the impact. Shielding people from the worst effects of inflation and external economic shocks requires strong public finances. It is prudent economic management that gives the Government the capacity to step in when necessary, not the Opposition’s continuous calls for increasing spending from what those Members appear to believe is a bottomless pot of money. The question for the Opposition is a simple one. How big would the fiscal breathing room this Government has created be if we had accepted the continuous and never-ending calls they made for additional spending? Our responsibility is not exclusively to respond to the pressures of today but to ensure we retain the capacity to respond to the crises and challenges of tomorrow. Solid budgetary management in recent years means we have the capacity to respond in a timely way to help with this energy price shock, but this comes at a significant cost to the Exchequer. The estimated cost to the Exchequer from 1 September until the final restoration on 28 February 2027 as regards the extension of the temporary changes is approximately €407 million. This measure is obviously being introduced today but, as previous speakers, including the Tánaiste, have said, as we frame the budget, which will be introduced in a number of weeks, we are determined that it will make decisive interventions that will further assist people with the cost of living, reward work, reduce costs and protect the economy. --- Source: Houses of the Oireachtas. Licensed under CC BY 4.0 (https://creativecommons.org/licenses/by/4.0/). The Official Report is revised after first publication; the fetch timestamp below identifies the version quoted. Record URI: https://data.oireachtas.ie/akn/ie/debateRecord/dail/2026-08-28/debate/main Retrieved: 2026-08-31T01:00:52+00:00 Sitting date: 2026-08-28