Why don't they cut tax on high fuel prices?

HELPDESK:Answering all your motoring queries

From S Cassidy: There is no point in moaning about the price of petrol and diesel and blaming it all on the Middle East when the Government plays such a big part in the problem. If they want to help the motorists then why don’t they lower the tax while prices go through the roof?

The geopolitical situation in north Africa is certainly playing a major part in driving up the price of a barrel of oil, but you are right to highlight the tax element on fuel. The AA recently published figures that showed 57.12 per cent of the pump price for petrol and 50 per cent of the price for diesel is tax. On an average litre of petrol priced at €1.50, they claim the total taxes come to 85.6 cent, and with diesel at a price of €1.45 it equates to 74 cent. The forecourt retailers can’t really be blamed either: figures from the Irish Petroleum Industry Association show that the wholesalers make 6 cent on a litre and forecourt retailers about 4.5 cent.

While the Government are obviously trying to protect the State’s tax revenue, they need to consider the social impact of rising oil prices. Motorists can opt for more fuel-efficient cars, but invariably these are newer models. For people under the greatest financial strain, changing their car is not an option. Their cars are older and less efficient so their spend on fuel is even greater. So it’s the poorest motorists who suffer the most from fuel price rises. Suggesting they take public transport is nonsense for many rural motorists with little option but to drive. While the Government can claim to have little power to lower the price of a barrel on the international stage, it can certainly ease the pain through an adjustment of its tax policies, at least when global upheavals are pushing up prices at the pumps.

From DT: I’m returning to Ireland with my family and am looking for a seven-seater. I’ve a budget of about €15,000. Diesel is probably best. Any recommendations?

The compromise is always in terms of bootspace for seven-seaters. The smaller models have the third row in the bootspace, which means if they are in use, bootspace falls to supermini or city car size. That’s the case with models like the previous generation Renault Grand Scenic and Opel Zafira. Of the larger models, it’s hard to look past the Ford Galaxy, and you could pick up a 2006 model with your budget.

Send your queries to Motors Helpdesk, The Irish Times, Tara St, Dublin 2 or motorshelp@irishtimes.com