Rogers flays Government
Page 5
If you've noticed an error in this article please click here to report it so we can fix it.
THE INDUSTRY'S reaction against last week's Budget boiled on thi! week, and as the 20p increase in tax on petrol has kept politician! on their toes, so the equivalent tax on dery has been the source o operators' growing anger, writes ALAN MILLAR.
One of the most virulent attacks on the Government came yesterday (Friday) when Road Haulage Association national chairman Ken Rogers told a Suffolk audience that the Budget alone has increased haulage costs by four per cent, and rates must rise as a result.
Id hurt tones, he said: "We had no wish to put up prices, we had no wish to put up inflation. It's down to the Government — the one that was going to look after the entrepreneur; the one that was going to bring down inflation; the one that has killed off over 2,000 haulage companies in the past year, principally 'because it has so compre hensively failed to cut its owr spending."
And he went on: "It is of little comfort to have been a supporter yet to stand in the gutter completely broke with your life's work and savings having disappeared."
RHA director-general George Newman wrote immediately after the Budget to MPs, accusing Chancellor of the Exchequer Sir Geoffrey Howe of failing to appreciate his measures could reduce the industry's ability to meet post-recession business.
The attitude of other organisations has been similar. The British Association of Removers, while welcoming the two per cent drop in Minimum Lending Rate, said extra fuel costs and vehicle excise duty rates will push costs up by 4.5 per cent.
While it said that these charges should be passed on tc customers, intense competitior — one remover told CM thal some of his competitors evade ved — will make them reluctan1 to do this.
A National Freight Company spokesman, while steering clear of political rhetoric, said the increased fuel tax would raise NEC's fuel bill by £6m this year and £7.5m in a full year.
There are fears in the industry that, if the Government does bend to backbench pressure anc cut fuel duty increase to, say, 10p, it will only do so on petrol