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FF breaks election promise on surcharges

Surcharges - Minister in U-turn
Surcharges - Minister in U-turn

The Minister for Enterprise has been forced into a U-turn over his plans to ban credit card surcharges.

Micheál Martin now says the move would not be compatible with EU law.

He had indicated before the General Election last May that the unpopular charges would be removed.

The decision has been criticised by the Consumer Association of Ireland, but others claim it is good for consumer choice.

Some claim that if surcharges did not exist, prices would rise, leaving those who do not pay by credit card to subsidise those who do.

However those buying tickets for holidays, concerts or shows face additional surcharges on each ticket bought. Such charges cost consumers millions of euro each year.

The Financial Regulator says where surcharges are applied they must be visible, upfront and transparent.