Cut your own costs Rogers tells Govt
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E GOVERNMENT should take its own medicine and help Jliers, Road Haulage Association national chairman Ken d in Bedford this week. private Rogers n a hard-hitting speech ected at Prime Minister Marret Thatcher, Mr Rogers said r time had come for the Goviment to start cutting its own 3ts, and not to impose any ther financial burdens on pri:e industry like haulage.
-le said: "It is all very well for Government to tell us that Its must be tightened, that )nomies must be made, that Kluctivity must be increased.
s all very well for them to tell to keep our costs down and to sure that every effort is made fight inflation.
'My complaint is that we in 3 private industry are carrying )st of the burden of record inest rates and greatly reduced siness on our own. The Goviment has failed to reduce its in spending to any marked deae and all the promises to cut blic expenditure, cut taxes, d regenerate British industry 1st now be seen with a very aptical eye."
Calling for further financial strictions to fall solely in the public sector, Mr Rogers said: "The Government may champion free enterprise, but its failure to control its own spending has placed an intolerable burden on the private sector."
Mr Rogers blamed continued Government spending for the loss of 2,000 haulage businesses in the past year, and estimated that 6,000 haulage employees have lost their jobs, and that 7,000 vehicles have been laid up.
He said this has led to the current rates depression with operators surviving only by applying "the most vicious costcutting practices' which, in some cases, have reached the point of desperation.
Mr Rogers accused local authorities of allowing their rates in many areas to spiral out of control, and described as irresponsible one London borough's plans for a 50 per cent increase in rates in April.
And pointing out the 20 to 30 per cent increase in gas, water, electricity, phone, and postal charges, he said: "Our profits dwindle to nothing, yet our costs rise inexorably."
Mr Rogers went on to warn: "This recession is fast becoming a slump. If nothing is done it is likely that there will be no road haulage industry worth the name. Companies will be run down, vehicles will be inadequately maintained, and such vehicles as are running will provide a sub-standard service."
He continued: "The first duty of the Government is to reduce its own spending significantly, as it promises to do. This would allow a reduction in the minimum lending rate."
He called for a reduction in Corporation Tax on smaller companies, and for the removal of the national insurance employers' surcharge, and said the Government should reject any ideal of increasing tax on diesel.