Vol. 499 No. 2
38 Ms Clune asked the Minister for the Environment and Local Government his views on whether the recent changes in vehicle registration tax are advantageous from an environmental point of view; and if he will make a statement on the matter. [2045/99]
I believe that this tax change is environmentally beneficial and forms part of the process, to which I am committed, of progressively greening our fiscal system. In the longer term emerging technologies will permit the application of very focused taxation measures in the transport sector e.g. by reference to actual vehicle emissions. In the interim, the revised banding arrangements for VRT introduced in the budget provide a credible proxy for addressing environmental impact by reference to vehicle engine capacity.
