RNA slides into the red
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by Miles Brignall The Road Haulage Association lost 1500,000 last year—the first time it has been in the red for five years.
The RHA's annual report reveals a deficit of £684,725 for the 12 months to 31 December 1998, the first full year of director-general Steven Norris's tenure. In 1997 the RHA made a profit of 168,365.
The downturn is due partly to a £400,000 fall in sales to members—subscription income also fell by £30,000 compared with 1997.
During 1998, the RHA's staff costs rose from below £200.000 to £287,000, reflecting changes in personnel. Over the same period establish
ment costs rose from £134,000 to £218,000. Most of this increase is believed to represent the cost of the RHA's Westminster office.
Some of the recorded deficit was caused when the association wrote off computer equipment that was not year-2000 compatible.
According to Norris, the reduction in income is due to the loss in carnet income brought about by the downturn in the Russian economy.
In his statement introducing the accounts Norris says the RHA's budget has been designed to "invest in the future of the association'. He promises that, with the loss of carnet income in mind: The strategy of the association is to plan a successful range of new commercial services which, together with subscription and renewal income, will provide an adequate basis for future operations."
• News of the RHA's poor results are expected to fuel criticism from some members who claim expensive changes at the RHA have failed to make a difference to their plight.
Martin Hall of Fishguardbased WE Hall & Son says the RHA has so far failed to live up to its motto, "Delivering for Members".
"Many hauliers across the country are in real trouble," he says. it's time for the RHA to stand up and deliver'