Enda Kenny (Mayo, Fine Gael)

I thank the Deputy for his kind words and for his attendance at the funeral yesterday. I appreciate that very much. The issue he has raised is obviously a tax measure that will be referred to when the Minister for Finance delivers his Budget Statement on 6 December. The change that was made was partly responsible for people wanting to buy more fuel-efficient cars, in the interests of a cleaner environment and better regulation in that regard. New rates of motor tax based on emissions were introduced by the then Minister in 2008. They provided for significantly reduced rates of motor tax for new smaller cars. The income from motor tax was just over €1 billion in 2008, €1.058 billion in 2009 and €1.024 billion in 2010. The income from motor tax this year is expected to be €988 million. That will represent a reduction of 3.5%. The Minister for Finance has not yet brought his tax proposals to Cabinet. He will do so this week as part of the preparation for next week's budget. If changes in motor tax rates are adopted by the Cabinet, the owners of cars with smaller engines and lower emissions can expect to continue to pay substantially less in motor tax than those who purchased cars with bigger engines and higher emissions. I understand what Deputy Martin is saying. There are inadequacies in the system that was introduced. This is one of the tax measures that will have to be considered by the Minister for Finance and the Cabinet when matters are being finalised in advance of the budget on 6 December.

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