Motor groups react to Budget

FIAT Group Automobiles Ireland expressed dismay that
both fuel prices and motor tax rates were targeted in the 2012 Budget, with
drivers of cleaner, more efficient vehicles being particularly hard hit.

From January 1 drivers of vehicles in Band A will face
a 53 per cent increase in their annual motor tax costs, while drivers of
vehicles in Band B will see a 44 per cent increase.

At the same time drivers of vehicles in Band F will
see a motor tax increase of seven per cent, while drivers of older (and less
efficient) cars with motor tax rates based on engine size face a more modest
and proportional increase.

Fiat Ireland said
the increases singalled out those conscientious buyers who recently
opted for cleaner and more energy-efficient vehicles, placing an unwarranted
and disproportional additional financial burden on motorists who value the low
running costs previously associated with these vehicles.

? a spokesperson said.

?

Meanwhile, Citroën has announced the introduction of a
price freeze to give certainty to customers ordering a new car for delivery in
the New Year.

The two per cent VAT increase will have an impact of
up to

?¬550 on the recommended retail price of Citroën C5 and C4 Picasso models.
In addition, a total of 19 passenger models qualify for Tax Band A road tax,
which are now available to view on www.citroen.ie.

Fréderic Soulier, Citroën Motor Ireland’s Managing
Director, said:

?