Ireland postpones planned fuel excise duty increases

The Irish Government has confirmed that planned increases to fuel excise duty scheduled for September and October will be paused. This decision follows geopolitical instability in the Middle East and its subsequent impact on global fuel prices.

Previously, a phased removal of excise cuts—which included 32c per litre on diesel and 27c on petrol—was set to begin in September. The Dáil will be recalled for one day next Friday to vote on a financial resolution to shelve these increases. While the government noted that these interventions cost the exchequer €100 million, officials stated the measures have helped keep inflation under control and provided relief at the pumps.

Enterprise Minister Peter Burke noted that while the postponement cannot continue “indefinitely” due to the need to maintain stable public finances, any action that pushes petrol and diesel prices significantly beyond €2 per litre would cause “very significant distress on families.” The Cabinet is currently awaiting a memorandum from the Finance Minister to outline future scenarios for reinstating the levies.