£9 a go isn’t all bad
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If the road transport industry gave the Conservative Party a ringing endorsement in any way in the election last May, it was for its Lorry Road User Charge (LRUC) policy.
The idea of an LRUC is not revolutionary: for anyone working in the industry, the inequality of a foreign haulier being able to come into the UK, drive around on cheaper fuel and not pay any tax for the pleasure of undercutting UK operators was plain obvious.
Labour dismissed the policy telling CM back in April 2010 that such a scheme would not offer value for money, as they believed there were not enough foreign hauliers travelling through the UK. Well, thanks to CM’s Legal Seminar at Tip-Ex last week, those who attended were the first to hear concrete details behind the Tory’s LRUC. The Department for Transport now says that charging a daily cost of £9 (€11) to foreign operators would generate £20m – which isn’t bad.
Furthermore UK operators may face a £450 annual tax bill for every truck from 2014 as they contribute to the LRUC – but the corresponding amount will come off VED. £9 a day isn’t going to deter the 1.43 million foreign registered HGVs that came into the UK between April 2010 and March 2011, but at least they will pay something for their trouble.
Finally that £20m should not disappear into the bottomless, anonymous pit that is the Treasury and should be put to use improving UK roads.
Then there really will be a ringing endorsement.
Christopher Walton