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Checking the cost of road user charging
Page 6
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The FTA is having the LIRLJC scrutinised — but says it is unlikely to withdraw its support. Dominic Perry and Jennifer Ball report
THE GOVERNMENT'S plans for Lorry Road User Charging in 2008 will come under fresh scrutiny this week:The Freight Transport Association has called in consultants PricewaterhouseCoopers (PwC) to carry out a "strategic evaluation" of the likely costs of introducing and running the scheme compared with its potential benefits.
The study was prompted by a decision at the FTA's national council to conduct a "root and branch" review of the scheme.
However, an unfavourable report is unlikely to prompt the FTA into withdrawing its support. says chief executive Richard Turner: "If they came back and said it's a lemon that is what I would need to report to the council. But I would be very disappointed and surprised if it was as bad as that.
"It is very important that the FTA remains inside the tent. If we walk out now then it could change the course of what's being done. If we stay involved in the process at least we have the opportunity of influencing events." PwC will make its first report to the FTA's national council on 25 January.
The move follows the appearance. of the FTA and the Road Haulage Association at a Transport Select Committee hearing last week. RHA chief executive Roger King told the committee that the UK transport industry seeks a "simple, straightforward, accurate and cost-effective system".
-Providing the scheme meets our criteria of being tax neutral and easy to use, then it's something that we can sign up to," he said. "There are still some very big issues as to who pays for all this. But there's no use us going off in high dudgeon as it's our role to make sure the pitfalls are eliminated."
Both associations have warned that the system must be revenue neutral, including the costs involved with setting it up.
• Tory peer Lord Atlee has outlined his plans for an alternative to the LRUC.All trucks,both foreign and UK-registered, would be required to leave the country with full fuel tanks so foreign operators would effectively be paying for using British roads via the duty incurred when buying UK fuel.
He says "The primary idea is to provide a level playing field, but tax and duty currently being lost is actually more significant than lhc cheap competition."