LETTER: Redirect Duty-Free Concessions to Fund Road Repairs

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**The Honourable Gaston Browne** Prime Minister of Antigua and BarbudaOffice of the Prime MinisterQueen Elizabeth HighwaySt. John’s, Antigua

**Subject: Reallocating Duty-Free Concessions to Fund Road Repairs**

Dear Prime Minister Browne,

In light of the public backlash regarding the proposed 40% increase in vehicle licensing fees, I urge the government to consider an alternative measure—revoking or significantly reducing duty-free concessions on vehicle imports. These waivers, which amount to thousands of dollars per vehicle, represent a major loss in government revenue that could instead be redirected to fund critical infrastructure projects, including road repairs.

While the proposed fee increase is not as burdensome as some may claim—adding only $104 annually for smaller vehicles and $180 for average-sized motor cars—the resistance from the public suggests that alternative funding sources should be explored. One such source is the substantial revenue lost through duty-free exemptions, which primarily benefit businesses, government officials, and select individuals rather than the broader population.

The government has long prioritized policies to ease the financial burden on citizens, including the removal of personal income tax. As a result, Antigua and Barbuda maintains the lowest tax burden in the region at 17.5%, well below the 24% regional average. However, duty-free vehicle waivers, while well-intentioned, deprive the treasury of much-needed funds that could be better allocated to public infrastructure.

By redirecting these waived revenues into a dedicated road improvement fund, the government could reduce or even eliminate the need for sharp fee increases while ensuring sustainable investment in our roads. This would directly benefit all road users, reducing vehicle wear and tear, easing traffic congestion, and enhancing the nation’s overall economic productivity and tourism appeal.

The government’s $100 million bond for road development is a commendable step, representing the most significant commitment to infrastructure in recent history. However, securing additional funding through policy adjustments—such as ending or limiting duty-free vehicle waivers—would provide a fairer, more sustainable approach to financing road maintenance.

I strongly encourage the government to review and reconsider the continuation of duty-free concessions on vehicles. A more equitable distribution of financial responsibility will ensure that road repairs are adequately funded without placing the primary burden on everyday citizens.

**Sincerely,TAX PAYER**