Business Weekly - Cambridge, UK

HOME

Foreign truckers swamp British roads

Written by Business Weekly

Friday, 02 July 1999

One in ten of the heaviest lorries operating on UK roads is now a foreign vehicle. One in ten of the heaviest lorries operating on UK roads is now a foreign vehicle. Higher tax on diesel and Vehicle Excise Duty for UK truck operators are producing substantial cost advantages for foreign competitors - resulting in a loss of domestic and international business for UK companies, says the Freight Transport Association. Last year the total number of UK registered vehicles of over 37 tonnes was 83,500. There are some 726,000 foreign vehicle journeys in the UK each year. When accounting for a two to three day stay, together with limited weekend operation, this means that on an average day there will be between 7,000 and 8,000 foreign trucks in the UK. The number of foreign vehicle journeys to the UK is increasing dramatically. There were 484,000 in 1996, 598,000 in 1997 and 726,000 last year - a rise of 50% in two years. The FTA's Geoff Dossetter said:'Since the introduction of the fuel duty escalator in 1993 there has been an enormous growth in foreign vehicles coming to the UK. 'These foreign vehicles have the benefit of being able to operate at lower costs than our domestic UK industry. Diesel duty in the UK is over 50p per litre compared with a European average of just 20p per litre and the rate of Vehicle Excise Duty in the UK for a 40 tonne/5 axle articulated lorry is £5,750 compared with just £485 in France. 'As a consequence growth of UK international haulage has been stifled by foreign operators' ability to offer back loads to Europe at very cheap rates. There is now evidence to show that the operators of these foreign vehicles are looking for UK domestic business. Because they are able to offer cheaper rates it is already clear that some British companies are being tempted to use them. 'The presence of foreign trucks in such large numbers places a new element of competition which, as a result of Government policy, is able to operate at significantly lower costs.

 

< Prev		Next >