Haulage industry poised for government cuts
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laura.hailstonerarbi.co.uk AS CM WENT TO press, the industry nervously awaited where the government's axe would fall ahead of the outcome of the Comprehensive Spending Review (CSR), unveiled yesterday (Wednesday). by Chancellor George Osborne.
The Freight Transport Association (FTA) was working right up to the wire, with a pre-CSR meeting with transport minister Mike Penning on Tuesday morning. James Hookham, MD of policy and communications at the FTA, tells CM he spent the morning presenting a very wide range of ways the logistics sector can take the lead.
"While we can't predict exactly where the axe is going to fall and how deep the cuts will be, one thing we can he certain of is that the government's transport team knows full well the terrific value of investing in infrastructure and the serious economic and environmental damage that failing to do so may incur.
"By prioritising essential road and rail routes in our detailed CSR submission, the policymakers can be left in no doubt that a 'fit for purpose' transport network is not a luxury. but an absolute necessity for the UK's economy." adds Hookham. Geoff Dunning, chief executive of the Road Haulage Association, says it comes down to "essential versus optional spending".
"Stopping the roads of this country falling to pieces would be a step in the right direction.he says, while the axing of funding for Freight Best Practice (FBP) would also be a loss to the industry.
"The material FBP produces is thoroughly researched and tested inpractice. All the advice it offers is helpful to operators and valuable to companies.he adds.
The DtT's Sustainable Distribution Fund budget for 2010/11, which covers FBP, Van Best Practice. Mode Shift Revenue Support and Waterborne Freight Grant, is 1.23.4m.
According to VOSA's business plan 2010/11, it is set to receive direct funding of £19m from the government: while the Highways Agency business plan 2010/11 states a budget of £4.8bn.