Internet car sales company Carzone, has written to its Northern Irish motor dealer clients, cancelling their business and declining to publish advertisements from them in future reports the Irish Times…
According to Trader Media Group, which operates Carzone, the decision to refuse advertisements from Northern Ireland on the website was taken because it was always the intention that the "brand" would specifically relate to cars which are put up for sale by individuals and dealers in the Republic.
TMG's regional managing director for Ireland, John OConnell, said Carzone also wanted to block access to its sites by "rogue, side of the road dealers" who may not pay the additional VRT rates that apply in the Republic. O'Connell said "about half" of the 1,160 dealers signed up to Carzone were members of the Society of the Irish Motor Industry (SIMI). SIMI has been running a campaign against illegally imported vehicles from Britain and Northern Ireland, and its director, Alan Nolan, acknowledged the organisation has complained to TMG about rogue traders.
The article goes on to state that Carzone’s decision had nothing to do with SIMI’s complaint and that legitimate dealers in the North who open a business in the Republic or enter a business agreement with a motor dealer in the Republic can advertise on Carzone. The article also gives some examples of dealers in the North who have business in the Republic.
The European Commission offices in Dublin spokesperson said that the issue would be examined by the commission in the light of EU rules on the availability of cross-border services.