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Tax could cut road repair funds
Page 10
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• Further cutbacks to road maintenance schemes could be on the cards if the aggregates tax proposed by the government goes ahead, the British Aggregates Association (BAA) has warned.
The 21.60/tonne tax is due to cover sand, gravel, crushed rock and marine aggregates from 1 April this year in a bid to cut the environmental damage caused by quarrying.
But the BAA claims the tax will have the reverse affect because local authorities will be forced to find an extra .£200m in the first year of the tax, reducing the funds available for road maintenance. A spokesman says; "Not only will we have the poorest transport infrastructure in Europe, we will now also have the most expensive maintenance costs as well."
The public sector is a major customer of the aggregates industry, accounting for 37% of all aggregates used.