News

Relations between the two major industry trade associations appear to have hit an all-time low this week after the Freight Transport Association confirmed it is seeking legal advice over an article about it in the Road Haulage Association's in-house  magazine, Roadway.

The FTA says it is "very surprised, very disappointed" about the critique of the report it commissioned from National Economic Research Associates (NERA) into truck operating costs in Europe. The RHA claims it understates the cost disadvantages faced by UK hauliers and is being used as an argument by the Treasury not to close the fuel duty gap.

However, what has particularly incensed the FTA are allegations within the article suggesting it is advising hauliers' customers that they are paying too much for their transport and urging them to either change their supplier or reduce their rates. On this, FTA policy director James Hookham will only say: "We have no case to answer. We are taking legal advice."

But Hookham says he is also furious that the RHA is laying most of the blame for the Treasury's inaction on fuel duty  differentials on the NERA report, rather than pointing the finger at the government for manipulating its findings: "As far as we know it's the only survey in town and given the case that we are anxious to prove to the Treasury that we think it's the right way forward – and we have – it's a very surprising move by the RHA."

Hookham adds: "The Treasury has misunderstood the findings and suggests that the gap between UK costs and nearer Continental costs are small," he says. "I think that only confirms the complete ignorance of the Treasury. While they may be numerically small, when you are operating on a 2% margin, it makes all the difference."

The RHA's policy director, Jack Semple, says the association blames both the FTA and the Treasury for the status quo and that the report is not helpful to hauliers' cause.

On the issue of the FTA advising hauliers' customers on rate cuts, Semple says: "The evidence we have is anecdotal. Members and senior members tell us the FTA has been using the cost tables as part of an argument to advise customers paying too much for their haulage. It's not an isolated case.

"If it's not the case, I would be surprised it's not what the senior members tell us."

The publication of the article will have done nothing to help the industry present a united front on the current concerns of hauliers. Semple responds: "Of course we want to work with the FTA, we want to work with it wherever we can.

"The FTA has gone on its own and generated a report that is being used by the Treasury to justify doing nothing about the big fuel duty gap. The report has not been particularly helpful."