The Return of Confidence
Page 35
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HOW far the man who is endeavouring to sell a commercial vehicle to an operator is Justified in stating that all will soon be well in the field of road transport, is a question that may well be asked.
It has been necessary to put up a very strong fight against any suggestion of legislation which Is obviously designed as a repressive measure against road operators, and a serious situation might arise if the recommendations contained in the Salter Report were to be implemented in full, both as regards restriction of licensing and greatly increased taxation.
• We believe, however, that the Government will not be so foolish as to make such an obvious attack, at the instigation of the railways, upon the hundreds of interests which have expressed, in no uncertain voice, their unanimous opinion against the report. Licensing is coming, but most probably in a modified form which will be likely to make for safety and, possibly, strengthen the position of the established haulier. We shall be surprised if there is not some new grading of licence duties, but we do not believe that the increase In taxation will be so great as that recommended.
Looking at the whole matter from this point of view, the situation appears far less desperate, and the sooner the Government's real intentions are laid before operators, the more rapid will be the return of confidence. Many operators are staving off the purchase of motor vehicles, not because they believe that they will not eventually be required, but for the reason that, until they know exactly what is going to happen, it is difficult to decide upon the capacity of vehicle which can most advantageously be bought.
Considered over ton-mileage, moderate increases of taxation on the heavier classes of vehicle do not assume quite so much relative importance and may be passed on to the consumer—by which term we mean the person whose goods have to be carried. The associations representing• trade and industry fully realize this point, and this is the chief reason for their complaint against the recommendations; it is not merely concern for roadtransport interests which has stirred them to make protests.
Vehicles are not ceasing to wear out because replacements are not being bought. It may be said with truth that by the time the whole position has been summed up and elucidated, the replacements will be a year overdue and, consequently, there should soon be a ready market, quite apart from any normal increase. We do not suggest that the whole loss can be made up at once, but already signs are not wanting that Confidence is returning, and this is exemplified by certain big orders which are now being announced or contemplated.