Fuel price will rise but not workers' incomes says Minister

Huge pay rises to offset rising oil prices for workers within the private or public sector were not realistic, Finance Minister Brian Cowen has warned.

Mr. Cowen advised people to have realistic expectations as the Social Partners await talks on a successor to Sustaining Progress and public sector workers await a new benchmarking round.

In relation to the prospect of pay levels increasing to compensate for oil price rises, the Minister was unequivocal in his stance.
"We tried that in response to previous oil price hikes and we simply generated huge inflation and other economic difficulties," he said.