New competition law will not rescue consumers from rising prices

Legislation will make the comepetition authority a more effective enforcer

New competition law is welcome but will not act as a silver bullet. Picture: Larry Cummins

The ever-increasing cost of living has dominated recent discourse in Irish politics. This has been pushed to the top of the agenda as inflation soars globally, driven by rising fuel and food prices. Russia’s invasion of Ukraine has only served to exacerbate an already precarious situation.

It is against this backdrop that we increasingly hear politicians throwing out soundbites about “price gouging”. This is generally done without any substantiation of the claims being made, a populist move to make headlines. Bord Gáis Energy’s recent price increases for their electricity and gas products are a pertinent example. They have been heavily criticised though reflect wider international trends in global wholesale energy costs.