John Kelly (Labour) | Oireachtas source

I welcome the Minister of State. I will be brief. The Bill is very welcome and it has come as a surprise to the Irish Road Haulage Association. It could not have come at a better time. Hauliers have been on their knees for the longest time due to the spiralling cost of fuel and toll charges, maintenance of vehicles and insurance. I have spoken on their behalf on numerous occasions. The issue was the fact that we were not in line with the tax rates in Northern Ireland and the UK. I am glad to say that some hauliers will now have savings of up to €4,200 per year. Nobody benefited more in the recent budget.

I agree with Senator Norris to a large degree in respect of the tax on older vehicles. He is paying €2,000 tax on a car worth €1,000. I was involved in a Commencement debate earlier on a similar matter, which is the spiralling cost of car insurance. I gave two examples, one of a man aged 73 with a little Ford Fiesta worth €1,000 whose insurance is €880 and another of a young lad with a 2002 Audi worth €2,000 which he needs to go to college and for which the insurance company billed him this year for €2,648, or €648 more than the value of the actual car.

I welcome the Bill. It will certainly improve the cost of doing business in Ireland.