The government's decision to drop plans for a vignette system and invest more money in VOSA staffing could prove ineffectual if cabotage rules are changed. Recently, the two major haulage trade associations met with the Department for Transport (DfT) to discuss the conclusions contained in its 'Freight Data Feasibility Study'. Its findings - that a vignette system to ensure foreign vehicles paid their way in the UK as well as creating an operator database for enforcement purposes was not cost effective - came as no surprise. A progress report published last October flagged up concerns about the legality of the system, and also the low benefits relative to costs. And in the Budget last month, the government confirmed it had dropped the idea.
FTA fury
What this means is that there is still no level playing field for UK operators to compete with their foreign counterparts. In addition, in the continued absence of a roadside 'Graduated Fixed Penalty Scheme', there is an astounding 97% chance rogue foreign drivers will escape penalties in the UK. And after a recent announcement from the European Union Transport Council concerning cabotage rules, there's also a chance the UK could experience a surge in international drivers.
The Freight Transport Association (FTA) is understandably furious and is demanding an independent review of the research work. "If the Germans can do it, and Benelux can do it, I'm sure the UK can do it," argues Simon Chapman, the FTA's chief economist. "If the benefit-to-cost ratio isn't there, we accept that. But to suggest that only one life over 10 years would be saved is implausible." Over in Weybridge, the Road Haulage Association (RHA) is also unhappy, but policy director Jack Semple remains philosophical: "We would have liked to have seen the vignette, anything to close the duty gap. People need to understand the taxation impact and levelling effect of a vignette would have been limited under EU rules. It would have been helpful, but not as helpful as some people in the industry think."
The RHA's stance has a great deal to do with the government's latest announcement that it would be much simpler and effective to invest £24m in more VOSA staff and technology instead. Transport minister Jim Fitzpatrick revealed that the three-year investment includes boosting LGV checks by 50% to around 46,000 a year '24/7 enforcement' and recruiting 97 more officers. However, the DfT confirmed to CM that this money is, in fact, made up of £6m already announced, plus £18m of new money over three years.
Cabotage changes
Semple says: "This was a big gain. It's all very well having intelligence you have to have the culture, the approach and the people to use it. It's not often we get something from the government. In terms of enforcement, we are moving in the direction we have asked them to." Chapman agrees it will help tackle non-compliance, but maintains that without a database, VOSA will struggle to reduce foreign operator lawlessness. But both trade associations are concerned by proposals from EU transport ministers to allow operators three cabotage operations in seven days of dropping off their original loads.
It is unclear how this will affect UK hauliers. On one hand, it limits the number of journeys a foreign driver can make within the UK, but on the other, it appears to allow 'contracted' journeys, where currently it must be 'ad-hoc'. Semple says a definition of 'operation' must be provided so that its impact may be understood. Chapman adds: "They have set a time limit to the number of cabotage journeys. Except there's no database, so how the hell are they going to enforce it? It all seems very bureaucratic and hit-and-miss."