Price rises for healthcare, transport, electricity

Consumers will be hit by increases in the cost of hospital charges, public transport and electricity as the New Year begins.

Following on from an increase in mortgage rates of a quarter of a per cent in December and a 25 per cent jump in the cost of gas, householders will face a 4 per cent increase in electricity charges. Electricity costs to small and medium businesses will increase by 5.2 per cent, and large businesses will face a tariff increase of 8 per cent.

Accident and emergency visits increased from yesterday, going up by €5 to €60. And there has also been a €5 increase in the cost of an overnight stay in a public hospital bed, bringing it to €60.

Transport costs are going up. Dublin Bus charges, in line with charges in Limerick and Waterford, increased by five cent across the board yesterday.

Intercity train charges between Dublin and Cork will increase by 3.8 per cent along with the Dart and Luas. From January 6th, a Luas fare from Dundrum to the city centre will go up from €1.30 to €1.35. However, the cost of smart cards and children's tickets will not increase.

Toll charges on the M4 will increase by 10 cent, from €2.40 to €2.50 per car.

Local authorities are likely to increase waste charges in their upcoming budgets. Following the introduction of pay by weight and similar charge structures nationwide, local authorities have experienced an increase in recycling and a drop in income from charges. However, they still need to find the funds to provide waste services and it is likely they will increase the charges.

Mortgage rates could increase in 2006 by between a quarter and a half per cent.

Michael Kilcoyne, chairman of the Consumer Association of Ireland, said that whatever benefits people received in the budget would be fully absorbed by price increases. He condemned the increase in hospital charges.

"Charging people for hospital services who are just above the line to qualify for medical cards is wrong. I know families who can't afford to take their children to hospital or a doctor."

He predicted an increase in VHI health insurance costs of between 8 and 10 per cent, and said a review in local authority rents was expected shortly and could result in 20 per cent of the increases given to social welfare and pension recipients going back to local authorities.

"People are going to be substantially worse off as the year progresses," he said. "I would call on the Government to sit up and take notice of the burden being placed on consumers."

Meanwhile, the Department of Transport is in negotiation with National Toll Roads (NTR) to address traffic congestion at the West-Link toll plaza. Among proposals being considered is a plan to allow motorists to pass free of charge through the toll plaza at busy times to ease congestion.