Prime Minister Gaston Browne has dismissed calls to eliminate duty-free vehicle concessions, arguing that the policy plays a crucial role in empowering working-class citizens, boosting disposable income, and stimulating economic growth.
Speaking on Pointe FM, Browne responded to a letter proposing that duty-free exemptions be reduced or removed to fund road repairs. He rejected the idea, stating, “These exemptions are not a right. It’s part of a benevolent policy to help the average person to continue to increase their disposable income by assisting them with duty waivers.”
He highlighted how duty-free benefits have made vehicle ownership more accessible, particularly for workers in tourism, domestic services, and other essential industries. “A lot of the home domestics, those who work in hotels, have been empowered because of this policy. They used to make maybe $100 a day, now they make $300 a day because they’re mobile and can take on more work.”
Browne also emphasized that the policy has broader economic benefits, including increased demand for fuel, auto services, and vehicle-related products, which contributes to government revenue through consumption taxes. “The increased demand for vehicles has led to greater fuel consumption, generating additional tax revenue for the government,” he said.
While acknowledging the need to raise funds for road infrastructure, Browne made it clear that duty-free vehicle waivers will remain. “If we announce tomorrow that we are stopping duty-free concessions, the public backlash would be far greater than for the $100 licensing fee increase,” he said.
The Prime Minister reaffirmed that the government will continue supporting affordable vehicle ownership while balancing infrastructure investments.
