Dáil Éireann debate -
Tuesday, 3 Apr 2001

Vol. 533 No. 6

Written Answers. - Disabled Drivers' Scheme.

Bernard J. Durkan

Question:

45 Mr. Durkan asked the Minister for Finance the position in regard to the ongoing review of the Disabled Drivers' and Disabled Passengers' (Tax Concession), 1994, Regulations; if the review is now completed; if further submissions are expected or awaited; the total number of persons likely to benefit from a relaxation of the regulations; if any analysis has been carried out to identify the benefit to the economy accruing from such relaxation; if his attention has been drawn to the numbers of disabled persons likely to become self-sufficient in terms of transportation in the event of a satisfactory review of the regulations; if each of the Departments involved in the review has given its approval; and if he will make a statement on the matter. [9667/01]

Minister for Finance (Mr. McCreevy):

As I have informed the House on a number of occasions, the inter-departmental review group, under the chair of an official from the Department of Justice, Equality and Law Reform, was set up to review the disabled drivers' and disabled passengers' – tax concessions – scheme. The principal issue of concern expressed by the public and by public representatives in connection with the reliefs under the scheme was, and still is, in relation to the medical criteria. Arguably, the continual pressure to extend the scheme is driven by its valuable reliefs, giving access to tax free cars and motor fuel, in effect, for life. I understand that, while no further written or oral submissions are expected, the work of the group is ongoing.

The qualifying disability criteria set out in the regulations relate essentially to persons who have severe permanent physical mobility problems. While the number of potential beneficiaries is unclear, there are up to 350,000 persons in Ireland who could be regarded as disabled to some degree or other. I would expect that many of these persons are already fully self-sufficient in terms of private transportation. In any event, not all of this number would or could use any widened scheme, but the substantial tax benefits make for considerable interest in and desire to be admitted to the scheme.

I have been informed that the review group has no definite figures of the likely number of extra disabled persons who may benefit under the scheme should a widening of the scope of the medical criteria be agreed on completion of their review. However, given the level of benefits available under the scheme, the cost is quite considerable and extending it further would present any Minister for Finance with some dilemmas. As Deputies are aware, the scheme is not means tested and the average benefit per person is approximately £4,000 on the basis that more than 90% of the present cohort of beneficiaries claim in respect of the purchase of a new car every two years. Clearly, the present level of benefits under the current scheme could be difficult to sustain even if a fraction of the figure of 350,000 were allowed to gain admittance to the scheme.

However, having said that, I appreciate the difficulties which people who suffer from some form or other of physical disability face in coping with every day life, particularly with regard to transportation and I can assure the House that any proposals, whether to widen the scope of the scheme or otherwise, which may emanate from the review group will receive full consideration.