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VOSA income to rise as 0-licence numbers fall
Page 6
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By Christopher Walton.
VOSA IS PLANNING on increasing its income from statutory fees in 2009/2010, despite predicting a dramatic fall in the total number of 0-licences being issued during the same period.
Total income from testing and operator fees is forecast to be £102.8 million in 2008/2009 and, according to figures supplied to Commercial Molor by the Executive agency, that figure is planned to increase by £4.6 million to £107.4 million in 2009/2010.
However, VOSA predicts a 5.98% fall in the total number of 0-licences in issue, from a forecast 95,300 in 2008/2009 to just 89,600 in 2009/2010.
Last month CM exclusively revealed that the number of new 0-licence applications this year were the lowest for a decade (O-licence applications slump to a 10-year low CM 4 June).
Similarly, the number of new 0-licence bids is set to fall by 18.6% from 6,300 in 2008/2009 to 5,125 in 2009/2010. Compounding the slump is the planned number of annual HGV tests VOSA predicts for 2009/20 LO. just 435,000, down from 459,100 in 2008/2009, A spokeswoman for VOSA says a reduction in income is expected due to a "forecast reduction in volumes of annual tests and licence-related activities; however fees have increased in line with higher service costs'.'
As of 20 April test fees have risen by an average of 9% and operator licence fees by 5%.
VOSA has also restructured fees to "ensure a fairer apportionment of costs to the operator and to reduce the number of transactions required':
The supplement for testing away from VOSA premises will be halved in 2010 and the number of Ice transactions is to be reduced.
At the time of the fee structure changes, Alastair Peoples, acting chief executive of VOSA, said: This new fee structure will help us to update our facilities and processes, making them as efficient and cost effective as possible."
• See comment on page 3.
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