Tax incentives for constructing and operating car-parks, which were due to expire on June 30th, will continue for a further year for "pipeline projects" under the Finance Bill 1998 terms, at an estimated Exchequer of £1 million. The 1995 Finance Act offered tax relief on 50 per cent of the construction or refurbishment cost of a car-park in non-designated areas, while, if the car-park was leased, the operator qualified for double rent allowance.

Under the Finance Bill, the regime for capital allowances for multi-storey car-parks has been extended to June 30th, 1999, "to allow certain pipeline projects to be completed subject to certain conditions".

But a Department of Finance spokesman said that the maximum tax relief was on £25,000 capital expenditure since the introduction of the last Budget.

Since the incentives were introduced, multi-storey car-parks have increased in Dublin, from 13 in 1995 to 22 this year which provide over 9,000 spaces.

Under the new scheme, a certificate is required from the local authority that "at least 15 per cent of the total cost of the project has been incurred by June 30th, 1998".