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Ireland has shown yet again that it is barracking for bikes, offering a €3,000 ($4600AUD) tax incentive for families to purchase cargo bikes.

The move comes as the government pushes to reduce polluting car use and get more people into active transport.

The new incentive will fall under the country’s existing Bike to Work Scheme, which already offers tax incentives up to  €1,500 for electric bike purchases on the scheme, or up to €1,250 for standard bicycles.

The Minister for Transport Eamon Ryan told the Irish Times that this new addition to the scheme, which offers more than twice the e-bike incentive amount, aims to make cargo bikes more affordable for families.

“Cargo bikes have become more popular in recent years with many people using them to bring their kids to school, for shopping and for work purposes as delivery vehicles,” Mr Ryan said.

“The cost factor, however, is an impediment to many people who may want to buy one. We hope that by increasing the limits for cargo bikes, more people will be able to choose them as a more sustainable way to get around.”

This exciting scheme is the latest in a growing number of bike-friendly policies the country is embarking upon, which already includes a Government pledge to allocate 20 per cent of the capital budget for active transport projects.

And just last month, Dublin opened its first bike library.

These exciting changes in Ireland are a glimpse of what could be achieved in Australia where, unfortunately, state funding for active transport is typically less than 2 per cent.

We are also yet to introduce national- or state-based bike subsidy schemes.

More and more authorities around the world are discovering that incentives for cargo bikes are important when it comes to getting people to switch from a second vehicle, or even a first vehicle, to a cargo bike.

Ireland in particular is speeding ahead with rethinking its urban transport system, and enticing its population with active transport options.

Mr Ryan says, "The coming years will see a re-allocation of road space away from private vehicles towards public transport and space for people walking and cycling and cargo bikes will play a large part in how we use our roads. I look forward to seeing many more cargo bikes on our roads over the coming years, helped by this decision today to make them more affordable.”