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Growth reasons to be cheerful?

17th February 2005
Page 24
Page 24, 17th February 2005 — Growth reasons to be cheerful?
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Which of the following most accurately describes the problem?

The CM/Michelin survey shows that cautious optimism is pervasive amongst road transport operators... despite the LRUC and tax changes.

MERATORS ARE predicting a relatively prosperous 2005, according to the latest results rom the Commercial Motor/Michelin Business iffonitor.

Over 75% of respondents say their business :onfidence is the same or greater than the last planer of 2004 — and 93% of operators surveyed :xpect their businesses to grow or stay the ame size.

However, a note of caution is sounded by a sizeible chunk of firms —nearly 25% say their business !onfidence has dropped since the last quarter.

One operator taking an upbeat view of the ndustry is Thomas Harwood from Bolton-based [homas Harwood & Son. He says: -We are very )ptimistic about the coming year and have just idded a new vehicle to our fleet. Our main con cern is the effect that the Working Time Directive will have on our business."

A less immediate concern is what the government is planning with regard to Lorry Road User Charging and the wholesale changes it envisages in the way trucks pay their taxes. It's currently considering tenders from companies keen to run its satellite-based charging system but UK operators believe there is a far easier way to create a level playing field with foreign operators-55% of those surveyed favour the introduction of a paper vignette system as used on the Continent rather than a more technologically advanced system.

Alternative systems

One man who shares this view is Tory peer Lord Attlee. He recently outlined plans for an alternative system to the LRUC which would simply require the government to ensure that all goods vehicles, both foreign and UKregistered, would leave Great Britain with a "nearly full" tank of fuel.

Over half of respondents (58%) said that this would create a level playing Yield, while 27% said it would he inadequate and the remainder were unsure of the benefits.

However, those objecting to the scheme thought it would be simpler and of more benefit to UK operators if the government simply slashed UK fuel duty. One operator warned that it would also be difficult for Customs & Excise to police all operators leaving the country. •

Tags

People: Thomas Harwood
Locations: Bolton

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