Finance minister admits Govt won't be able to 'insulate' people against inflation

The increase in the price of goods has been "considerable" and the Government will not be able to fully insulate people from the rising cost of living, Finance Minister Paschal Donohoe admitted. 

Speaking on RTÉ's Morning Ireland, Minister Donohoe said they are able to meet the challenging financial situation, due to decisions made in the past two years.  

"It is the case that that as we move through this year, and beyond this year, we won't be able to insulate our people and our economy, entirely, from the effect of the war in Ukraine and what that means in effect for the price of energy" Minister Donohoe said. 

There had been weekly calls for supports during the Covid-19 pandemic, Minister Donohoe said of the challenges at that time, with many economic supports announced.

"We got the balance right between helping with today, and always being ready for what could come afterwards," he said. 

"Due to that, while we do face great challenges with the war now, after a pandemic, we do so with an economy that is still capable of growing and still capable of keeping a record number of people at work because we got the choices over the last two years, I think overall, right," he said. 

"And that's why we are going to step by step help, and at the same time acknowledge we can't do all, that many people want me to do," Minister Donohoe said.