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Farmers go to Bank

27th May 1999, Page 12
27th May 1999
Page 12
Page 12, 27th May 1999 — Farmers go to Bank
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Which of the following most accurately describes the problem?

• by Karen Mites Britain's farmers are appealing directly to the Bank of England this week for a freeze on the level of fuel duty paid by hauliers.

The intervention of the National Farmers' Union follows an NFU report on the rural economy, which states that farm incomes are in "free-fall"—a situation which is having a 'devastating impact on the rural economy", including hauliers.

The move will add to the pressure on the Government to grant concessions to hauliers.

On Monday (24 May) NFU president Ben Gill met Eddie George, Governor of the Bank of England, to lobby for the freeze on diesel duty as well as a cut in interest rates and a reduction in the strength of sterling.

Gill told George that in the past year fuel duty increases have had "enormous consequences": 89% of allied industries, including haulage, have shed jobs. Business confidence was non-existent, he said.

The NFU's report draws or evidence from rural hauliers including Clive Warcup from Driffield in Humberside, who runs a grain and animal feed haulage company with 50 vehicles: the fall in pig production has forced him to cut his fleet, losing three drivers'jobs.

Rural hauliers in Shropshire have already presented a pettion to the Government through Labour MP Paul Marsden. In his response, Deputy Prime Minister and Transport Secretary John Prescott said the industry and Government road haulage forum will consider "special assistance" for small hauliers (CM 13-19 May).


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