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RHA meets Treasury to discuss level playing field

24 July 2008

Just hours after the Government revealed its decision to postpone the 2p/lit rise in fuel duty, the Road Haulage Association (RHA) met with the Treasury exchequer secretary Angela Eagle. Speaking to CM after the meeting, RHA chairman and ABE Ledbury managing director Andy Boyle said that now the fuel duty issue was out of the way, it was time to concentrate on the main event. According to Boyle, Eagle admitted a couple of possible areas for future  dialogue: foreign trucks operating in the UK for nothing, and the gap between diesel and petrol prices.

"All other road users get charged in this country through fuel duty, VED and VAT, but foreign operators come in with a full tank of fuel and pay nothing," Boyle says. The RHA told Eagle that while a Eurovignette is not the be all and end all, it would be a start. "We need something now. The Eurovignette is a good idea and we believe the DfT is working from incorrect figures if it thinks it won't cover the costs of implementing the scheme. And we felt this was a point that definitely went home with Angela Eagle."

During the meeting, RHA chief executive Roger King brought up the difference between diesel and petrol prices, which is widening. "I can fill my Freelander up with petrol at Morrisons for less per litre than I can get 45,000 litres of diesel delivered into my yard," Boyle reveals.

"If we're right, petrol will start falling in price in September, while  diesel will continue going up. We suggested that the Government reduce diesel costs, although the Treasury claims it has no say in the price at the pumps. We are going to keep revisiting the Government on this because it's diesel that delivers all the goods in this country, while petrol takes people on holiday. The haulage industry would stop tomorrow without diesel."

Boyle believes the Government will do something to level the playing field between UK and foreign operators, but is less optimistic about it addressing the difference in diesel and petrol prices despite Eagle clearly understanding the problem. However he adds: "I believe the Government may be forced into something if the gap keeps widening." "And from now onwards, my message is that just because the 2p has been postponed, it doesn't mean I've caved in and rolled over. Life goes on but so does the fight."


Roanna Avison
Email at roanna.avison@rbi.co.uk
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