A plan by Minister Gormley to increase tax on tyres has been described as “a stealth-tax disguised as a green tax, and one that can actually impact on road safety” by the Irish Tyre Industry Association (ITIA), which also contends that the tax would see hundreds of jobs lost to Northern Ireland. The warning is contained in a submission to the Minister, who is believed to be considering the tax increase as a way of financing the disposal of old tyres.
“At a time when everyone is under greater financial pressure, plans by Minister Gormley to further increase tax on tyres will inevitably lead to even higher prices for buyers, and that could lead to delays by drivers in replacing tyres that have reached the minimum tread depth for road safety”, commented Dave Naughton, President of the (ITIA). “Tyre dealers across the country are seeing at firsthand how reluctant motorists are to change their tyres, and how sensitive a factor is price”, he added.
According to the Association’s research, up to 60% of motorists now allow their tyres to wear below the legal tread depth limit of 1.6 mm before changing them. It warns that in the current climate any increase in the price of tyres will lead to further deferral of purchases, with potentially lethal consequences.
The Minister is believed to be considering this tyre tax following RTE’s Prime Time report dealing with the illegal stockpiling and illegal disposal of tyres by rogue waste tyre collectors.
However, the ITIA points that the problem is to do with Government not providing the resources for enforcing the law against registered waste tyre collectors. “As a result collectors are being allowed to stockpile tyres or dispose of them illegally. The tyre industry has absolutely no influence over this,” Mr. Naughton pointed out. “All that is needed to resolve the problem is enforcement by the local authorities, not another ill-conceived expensive State–run alternative, which will face the very same issue as the current scheme, but at much greater cost to the customer and the industry.”