Ciarán Lynch (Cork South Central, Labour)

As those who work in the sales industry tend to drive company cars, mileage and depreciation is not an issue for them. The Minister must address this issue in the context of the Bill.

If the Bill is intended as a means to incentivise the Irish driving public to make environmentally friendly choices, the Labour Party welcomes it. However, it has revenue implications for every household in the country. At present, the tax on a 1.6 litre car ranges between €350 and €450 per annum. The new system allows for significant reductions on that amount on cars with reduced emission levels. That is a substantial sum of money for any household earning €38,000. Legislation such as this is often drawn up by people who do not pay for the cars they drive or the fuel they put in their engines. They are not necessarily aware of what the rest of the driving public has to endure on a daily basis. Ireland is one of the most expensive countries in Europe to purchase a car because of VRT. For many years, people have purchased cars outside the State in order to avoid VRT. The Bill offers further incentives for purchasing second-hand cars outside the State, with implications for new and, in particular, second-hand car sales.

I hope we will look back on this Bill as a milestone in the transformation of Irish driving culture rather than an opportunity missed because anomalies were not rectified. I suggest that the Minister address these anomalies.

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