A planned increase in fuel excise duty will not go ahead next month.
The cuts were introduced following nationwide protests earlier this year over the rising cost of petrol and diesel.
They were due to be gradually phased out between now and the end of the year.
However, in an audio statement released to Highland Radio News, Tánaiste and Finance Minister Simon Harris confirmed that the planned increases in September and October will now not go ahead.
The Cabinet is due to meet next week to agree its next steps.
The Finance Minister says the planned increases would not be appropriate at this stage:
Following calls from the Opposition to scrap the fuel cost increases, Donegal Deputy Pearse Doherty has welcomed the move.
However, he says Finance Minister and Tánasiste Simon Harris must ensure people are protected through both emergency measures and a long-term plan in the upcoming Budget, amid the ongoing cost-of-living crisis:
