David Stanton (Cork East, Fine Gael) | Oireachtas source

I thank the Senator for raising the matter. I wish to recognise my constituency colleague, Councillor James O'Connor, and welcome him to the House. I apologise on behalf of the Minister for Finance, who cannot be here this morning.

The disabled drivers and disabled passengers tax concession scheme provides relief from VAT and VRT up to certain limits, an exemption on motor tax and a grant in respect of fuel and the purchase of an adapted car for the transport of a person with specific, severe and permanent physical disabilities. To qualify for the scheme an applicant must be in possession of a primary medical certificate. To qualify for a primary medical certificate, an applicant must be permanently and severely disabled within the terms of the Disabled Drivers and Disabled Passengers (Tax Concessions) Regulations 1994 and must satisfy one of the following conditions. An applicant must be wholly or almost wholly without use of both legs; wholly without the use of one leg and almost wholly without the use of the other leg such that the applicant is severely restricted as to movement of the lower limbs; be without both hands or both arms; be without one or both legs; be wholly or almost wholly without the use of both hands or arms and wholly or almost wholly without the use of one leg; have the medical condition of dwarfism; or have serious difficulties with the movement of the lower limbs.

The senior medical officer of the relevant local HSE administrative area makes a provisional clinical determination of whether the individual applicant satisfies the medical criteria. A successful applicant is provided with a primary medical certificate, which is required to claim the reliefs provided by the regulations. An unsuccessful applicant can appeal the decision of the senior medical officer to the Disabled Drivers Medical Board of Appeal, which makes a new clinical determination in respect of the individual. The regulations mandate that the board of appeal is independent in the exercise of its functions to ensure the integrity of its clinical determinations. After six months, a citizen can reapply if there has been a deterioration of his or her condition.

The scheme represents a significant tax expenditure. Between the VRT and VAT foregone and the fuel grant, the scheme's cost rose from €50 million in 2013 to €65 million in 2016 and 2017, increasing further to €70 million in 2018. This figure does not include the revenue foregone in respect of the motor tax relief provided to members of the scheme. The disability criteria for the tax concessions available under the scheme have changed over time. When the scheme was first introduced in 1968, the legislation only allowed for one medical ground. In 1989, four new medical grounds were added and one new medical ground was added in 1994. I remind the House that the scheme was examined in 2015 in order to target available resources at those most in need. This resulted in the creation of a new category of adapted vehicle called the extensively adapted vehicle, allowing claims of up to €22,000 where the cost of modification exceeds the cost of the vehicle itself. Furthermore, access to the scheme for charitable organisations was significantly broadened in 2018 by the removal of the requirement for 50% of the people availing of the services to hold primary medical certificates.

I understand and sympathise with any person who suffers from a serious disability and cannot access the scheme under the current criteria. However, given the scope and scale of the scheme, any possible changes can only be made after very careful consideration, taking into account the existing and prospective costs of the scheme, the availability of other schemes which seek to help with the mobility of disabled persons and the interaction between each of the schemes. The Minister for Finance tells me he has no plans to change the current criteria or make any other changes to the scheme.