LRUC - RHA Demands Action
The Road Haulage Association is deeply disappointed that the Government has abandoned the Lorry Road User Charge Scheme.
RHA Chief Executive, Roger King, said: "The LRUC concept was not perfect but it had the potential to deliver a fuel duty rebate and a charging regime for foreign lorries that would establish the longed-for level playing field for UK hauliers.
"We welcomed the commitment made by the Chancellor Gordon Brown back in 2001 to establish a new fairer tax system for hauliers. We have worked hard with Customs and Excise (now Revenue and Customs) to address the practical issues. We always knew that this would be a high cost alternative to fuel duty, but felt that given determination, this could be resolved.
"The Government claims that this change of policy is the direct result of a manifesto commitment to introduce road pricing for all. But does this supersede a commitment made by the Chancellor to Parliament to introduce the LRUC by 2008.
"The RHA cannot accept that the industry must wait until 2015 (at the very earliest) to level the playing field with foreign truckers. Can we allow these lorries to use our roads in increasing numbers without paying a single penny for their use?
"The game is not over yet", continued Roger King. "We shall press ministers to continue with the fuel rebate element of the LRUC, thus setting in place the mechanism for its introduction. Meanwhile, we shall press again the case for increasing VAT on diesel fuel, as a substitute for part of the current duty, thus enabling hauliers to recover an increased sum."
"Finally, we would hope that Government would support the SNP amendment to the current Finance Bill that seeks the introduction of a fuel duty regulator. The RHA hopes to see the Financial Secretary to the Treasury, John Healey, next week to re-state the industry's case for immediate help."
"We welcomed the commitment made by the Chancellor Gordon Brown back in 2001 to establish a new fairer tax system for hauliers. We have worked hard with Customs and Excise (now Revenue and Customs) to address the practical issues. We always knew that this would be a high cost alternative to fuel duty, but felt that given determination, this could be resolved.
"The Government claims that this change of policy is the direct result of a manifesto commitment to introduce road pricing for all. But does this supersede a commitment made by the Chancellor to Parliament to introduce the LRUC by 2008.
"The RHA cannot accept that the industry must wait until 2015 (at the very earliest) to level the playing field with foreign truckers. Can we allow these lorries to use our roads in increasing numbers without paying a single penny for their use?
"The game is not over yet", continued Roger King. "We shall press ministers to continue with the fuel rebate element of the LRUC, thus setting in place the mechanism for its introduction. Meanwhile, we shall press again the case for increasing VAT on diesel fuel, as a substitute for part of the current duty, thus enabling hauliers to recover an increased sum."
"Finally, we would hope that Government would support the SNP amendment to the current Finance Bill that seeks the introduction of a fuel duty regulator. The RHA hopes to see the Financial Secretary to the Treasury, John Healey, next week to re-state the industry's case for immediate help."
Legal Brief