Irish consumers are currently facing high prices for goods because they have been willing to pay over the odds for years, the CEO of the National Consumer Agency (NCA) has said.
Ann Fitzgerald told an Oireachtas Committee today that because of the behaviour of shoppers in recent years multinational retailers see Ireland as a place where they can “maximise their profits”, when they might offer leeway in some other markets.
“Retailers are in a comfortable place where they are happy to match rather than undercut their competitors. If we move around stores with our weekly shopping baskets we then force them to compete,” she said.
Ms Fitzgerald was making a presentation to the Joint Committee on Enterprise, Trade and Employment on the work of the NCA since its inception in May of last year.
The organisation's mandate is to enforce consumer protection legislation, create awareness, provide information and conduct consumer research.
Following sharp price increases in fuel and food in recent months, Fine Gael deputy Damien English said perhaps the Government should take at look at the share it takes in tax from consumer goods.
“They’re making more money every time the prices go up,” he said.
He also questioned if multinational retailers like Aldi and Lidl were offering the same value here when compared to their stores in other countries.
Ms Fitzgerald said she was “stunned” when she conducted a currency conversion between the prices Lidl offered Irish consumers and those living in Britain.
She said a girl's T-shirt and trousers on offer in the store was some 59 per cent cheaper in Britain than in Ireland. She said Irish shoppers were also paying more for electrical goods.
