Prices and fares rise as VAT increases take effect

CONSUMERS ARE facing a slew of price increases introduced yesterday, including a 2 per cent hike in the top VAT rate to 23 per cent.

The increase will apply to the top rate of VAT while goods and services on 13.5 per cent, 9 per cent or zero rate will be untouched.

The interim €100 household charge will apply from January 1st for all homeowners with some exceptions such as designated ghost estates and people receiving mortgage interest supplement.

Homeowners will be able to pay by a one-off payment or through four instalments.

A rise in motor tax is just one of the many measures that will affect commuters.

The rise in motor tax will be across all categories including commercial vehicles but sharpest for smaller C02 efficient cars with an A-rated car up by a third (€45) to €160 per annum while G-rated vehicles are up by 7 per cent (€158) to €2,258 per year. Motorists will also be hit by an increase in tolls as the National Roads Authority has approved a 10 cent rise from yesterday on parts of the M1, M8, M6, Limerick tunnel, M3, M4, M7. The M50 toll for goods vehicles has increased by 10 cent but will remain unchanged for private vehicles. Dublin port tunnel rates remain unchanged.

Rail and bus commuters have not escaped the price rises.Average Dublin Bus cash fares are up 15 per cent. The lowest adult cash fare is up by 20 cent to €1.40 while the 13 stages fare is up by 35 cent to €2.65.

Luas fares have also increased by 6.3 per cent on average, about 10 cent on single adult and child journeys. From Wednesday Dart fares will rise by 6 per cent and 6.7 per cent on Irish Rail commuter services. Commuters using the integrated Leap Card will pay cheaper fares.

Airline passengers will also be hit as EU carbon charges for long haul flights from today are expected to add 25 cent to average ticket prices.

Among the other price changes are an average 12 per cent increase for Quinn Healthcare customers, while Aviva health insurance subscribers will face 15 per cent increases from February. Burial plots will increase by up to 50 per cent in the South Dublin County Council area while the cost of an Islamic plot will double.