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P TOLL CHARGES
Page 6
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Severn Bridge operator cuts toll rises for trucks
CM EXCLUSIVE by Chris Tindall THE TOLL OPERATOR that runs the Severn Bridge has agreed to reduce the price hike for trucks crossing the bridge following the Transport Secretary's intervention in the row over VAT.
However, Severn River Crossing (SRC) has not ruled out further rises in 2009 if the Government pushes VAT back to 17.5%.
Last month, Commercial Motor spoke to hauliers who were angry that the new toll rate being introduced on 1 January did not take into account the recent reduction in VAT to 15%, and would force them to cough up an extra 70p each time they crossed the bridge (Toll Operators Failing to Pass on VAT Reductions', CM 18 December 2008.) But just before Christmas, the Department for Transport (Dfr) and SRC caved in to the pressure and agreed to a new rate of £16.30 for HGVs — a rise of just 40p, which also takes into account the retail price index (RPI).
Jim Clune, SRC general manager, says it had already unveiled the original rise when the Government opted to reduce VAT, claiming it had to wait for approval from ministers before agreeing to the U-turn, adding: "The Secretary of State [for Transport] issues a statement every year to fix the price for the following year. If it's less than RPI, he must get agreement, we did agree to it," However, Clune warns that economic uncertainty could force a review of the charges before the year is out: "Who can say if they [the Government] will make a further decision regarding VAT in 2009? Anything is possible:' The Road Haulage Association says it's "chuffed" at the decision.