Motor chief calls for VRT cut

The Government has come under pressure to reduce the rate of Vehicle Registration Tax in the wake of a bumper 'take' from new car sales revenue.

Over 120 million euros in VRT tax and some 60 million euros in VAT has been raked in by the Government over and above initial finance projections.
And now SIMI chief executive Cyril McHugh has said the time has come for the Government to cut the rate of VRT over a ten year period.

Mr. McHugh said the money generated by the extra sales this year should be "returned to motorists by way of a VRT reduction in the December budget."

New car sales for the year to date came to 165,247, up 12.2 percent on the 147,251 for the same period last year.
"How can the Government expect us to embrace the EU project when it itself is showing contempt for its rules by forcing Irish motorists to pay VRT in a manner that distorts the Single Market?", Mr. McHugh said.