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Road tax for HGVs to be addressed to improve business between Ireland and the UK – Fitzpatrick

11th November 2014 - Aoife Carragher

Fine Gael TD for Louth, Peter Fitzpatrick, has today (Tuesday), welcomed the announcement by the Minister for Finance, Michael Noonan TD, that road tax for HGVs over 12 tonnes will be reduced in next year’s Budget. Minister Noonan was speaking following a meeting he attended with the Minister for Transport, Tourism and Sport, Paschal Donohoe TD and the Irish Road Haulage Association during which they discussed the difference between costs for HGV operators in Ireland and the United Kingdom.

“The cost of operating is extremely relevant for HGV operators living and working in the border counties. I am pleased that the Minister for Transport and the Minister for Finance have met with the Irish Road Haulage Association to discuss this very important issue.

“The haulage industry is very important to Ireland as a small, open, exporting economy. HGVs of over 12 tonnes have significant motor tax charges, therefore I expect that Minister Noonan’s commitment to reduce road tax for these vehicles from next year will be welcomed by the industry.

“There are other problems affecting hauliers and these issues were discussed by the Ministers and the Irish Road Haulage Association during their meeting. They in particular focused on the differences between costs for operators in Ireland and the United Kingdom.

“I believe this meeting was very constructive and that it will build on the interdepartmental working group on HGV motor tax established earlier this year.  

“The working group is reviewing the way commercial vehicle motor tax is calculated and the levels of motor tax paid by the industry. Some of the options they are examining include the rebalancing of the commercial motor tax bands to give more favourable rates to HGVs which cause less damage to the environment or possibly introducing a pay-as-you-go charge for HGVs.

“The group will issue a consultation paper by the end of this month, seeking the views of hauliers and other stakeholders on the options for reform of the commercial vehicle motor tax regime.   I would encourage those in the industry to take part in this consultation and to have their views heard as we need to ensure that HGV operators can run a profitable business throughout Ireland and the UK.”