The Government is considering another cost-cutting measure to cut the burden of fuel poverty on many Irish families.
A plan to temporarily cut the VAT rate on energy from 13.5% to 9% is among the proposals set to be brought to Cabinet tomorrow.
Government leaders met yesterday to discuss further measures to be taken to curb the rising cost of living.
It is believed one of those proposals is cutting the VAT rate on gas and electricity to 9 per cent, while a plan to introduce three weeks additional payment of the fuel allowance is also being considered.
Finance Minister Paschal Donohoe was involved in setting out some of the measures that were considered by the party leaders.
A Department of Finance spokesperson said: “Minister Donohoe outlined measures for consideration by the party leaders this evening.
“Further work will now take place in advance of a cabinet meeting.”
If approved by Cabinet, the measures would be the latest in a series of attempts by the Government to defray the cost of rising inflation and the growing burden on households.
The Government has already attempted to mitigate the impact of inflation with a range of announcements, including a cut to excise duty on fuel and providing households with a €200 energy rebate.