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4x inflation for 44t THE COST OF running a 44tonne
Page 11
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artic increased by nearly four times the level of inflation last year, according to the Freight Transport Association (FTA).
The FTA's yearly assessment of costs says that the main reason for the increase was the soaring price of fuel.
The running costs of 44-tonner went up by 5.6%, compared with 4.9% for a 17-tonner, where fuel makes up a smaller proportion of its running costs. The government's measure of inflation, the Consumer Price Index, ran at 1.5% to the end of November.
Fuel makes up about 30% of hauliers' running costs. Wages account for another 30%, with maintenance, depreciation, insurance and other overheads such as office costs making up the rest. Drivers wages rose an average of 4.3% in 2004, boosted by the initial response to Working Time Directive.
Rachel Sheridan-White, economics analyst at the FTA. says inflation in the cost of running trucks has outstripped general inflation for several years. Last year, for example, haulage inflation was 3.3% against a retail price index increase of 2.8%.
The haulage inflation gap has worsened because market conditions mean that most hauliers have been unable to put up their rates by even the general inflation rate, says the FTA. Haulage rates rose by just 1.2% on average in 2004.