Government rules out cost-of-living measures to fend off effects of potential US tariffs

It comes as the EU launched a 'public consultation' on a list of US imports which could become subject to EU countermeasures if negotiations do not result in the removal of US tariffs

Peter Burke said it is important to avoid taking steps such as the EU using the Anti-Coercion Instrument which would target US digital services saying it would be 'a tit-for-tat and a huge escalation in tensions'. File picture: Conor Ó Mearáin / Collins Photo Agency

The Government does not intend to use a once-off cost-of-living package to mitigate the fall-out of tariffs if the EU cannot reach a deal with the US.

Enterprise minister Peter Burke has ruled out a one-off package in this year's budget saying that to continue multi-billion euro cost-of-living measures each year will make inflation worse.