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National News

Virulent row erupts over euro changeover 'rip-off'

By Martha Kearns

Saturday March 02 2002

A MAJOR row has broken out among consumer watchdogs and business groups over whether or not there was a euro rip-off during the changeover.

Angry groups representing businesses and publicans have slammed a survey by the Consumer Association of Ireland (CAI) calling it "unprofessional" and "selective with the facts".

And the director of Consumer Affairs Carmel Foley said the survey was confusing and it had been a "knee-jerk" reaction to associate the increases with the euro.

But the CAI has hit back saying it will stand by its survey, which shows sharp increases in services and goods. The CAI attributes these increases to the changeover.

The Small Firms Association (SFA) said the CAI was "whipping up a frenzy" regarding price increases, inflation and the euro which did not stack up.

SFA director Pat Delaney said the CAI was being "selective with the facts" and there was no evidence in the overall inflation figures to show retailers had hiked prices up before, during or after the changeover.

"Because one pub increases the price of bottled water, one doctor increases the cost of medical care, one local authority increases waste charges or that the price of a frame of pool in one outlet increases is not sufficient evidence to suggest that consumers have been ripped off," said Mr Delaney.

The Licensed Vintners Federation said the survey was "unprofessional" and a "pathetic job" which had been rubbished by the Consumer Price Index (CPI) figures.

Federation boss Frank Fell said the sample of pubs taken had not been representative of the trade and the CAI had "done the consumer a disservice". They used a few situations to make their point and the argument was completely devastated by the CPI.

"It seems to be totally unprofessional. They have never done a really in depth study and always seem to take a few cases that are out of line with the norm," said Mr Fell.

CAI chairman Michael Kilcoyne said he was not surprised at the SFA statment as he did not expect them to welcome the findings.

"And clearly some of its members are involved in this kind of stuff," he said. "They would be better off trying to keep their members in line than criticising us.

"From the reaction we have been getting, it appears that we are spot-on. All of us know it, we didn't even need the figures to prove it," Mr Kilcoyne said.

- Martha Kearns

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