Richard Bruton (Dublin North Central, Fine Gael)

This tax adds 61% to the price of a car and a high cost to the price of commercial vehicles. The argument being put forward is that it is not the ownership but the use of vehicles that has damaging environmental effects. Will the Minister elaborate on his thinking on this tax measure? He has recited the argument for and against it. He thinks this tax is an easy way to gather revenue because the consumer is a soft target in the car market and as the market is booming he might as well roll in the money while he can. He is also saying there is merit in examining the possibility of putting in place a more sensible environmental structure.

Taking a long-term view, does he agree that it is time Ireland recognised that extremely high rates of VRT are out of line, that we need to reduce them over a long period to ensure such a change does not disrupt public finances and that we need to examine a more environmentally sound basis for raising tax from the motor sector? Does he agree it is time to consider such a policy in more open terms rather than trying to avoid being committed to either side of the debate?

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