Friends of the Earth welcomes carbon tax

Environmental lobby group Friends of the Earth has welcomed the introduction of a carbon tax in today's Budget.

However, the body claimed that the tax level "falls far short of what is needed to reflect the damage carbon pollution does".

Friends of the Earth director Oisin Coghlan said: "Friends of the Earth welcomes the fact the Government has finally decided to introduce a carbon tax.

"It is particularly welcome that the Minister indicated that the revenue will be used to reduce payroll taxes and finance rural transport and energy efficiency."