News

VOSA's dogged determination to plough on with its 9% hike in test fees and 5% rise in O-licence fees is adding further cost burdens to operators' businesses in addition to the 1.84p/litre rise in fuel duty, which came into force yesterday.

Despite holding an open consultation on its proposals, which ended on 29 January, VOSA appears to have ignored the industry's concerns. Jo Tanner, Freight Transport  Association (FTA) director of communications, says the consultation "appears to have been nothing more than a paper exercise".

According to the FTA, operating costs in VOSA have spiralled from £49m in 2003/4 to £71m in 2007/8, which it believes the "industry is now having to pay for". Tanner adds: "These rises are putting jobs at risk and putting another nail in the logistics sector's coffin."

Peter Masters, MD of Mini Clipper Logistics, says "any increase at this time is not good". He adds: "It is just another government tax we will have to absorb at a time when everybody is trying to do their best to maintain margins. At least with fuel rises, most companies now have a multiplier and can add on a surcharge, but with the VOSA increase, customers are not really interested."

As well as raising the fees from 20 April, VOSA is merging O-licence fees with testing costs, although this is  being phased in. So a standard annual HGV test will go up from £51 to £75, which includes a £19.62 contribution to enforcement functions, previously charged via O-licence fees.

On a positive note, a minor victory for the industry was achieved earlier this week when Ann Cryer, Labour MP for Keighley, won a reprieve for VOSA's Steeton, West Yorks test station, due to shut on 23 April.

At a meeting with Department for Transport minister Jim Fitzpatrick on Monday, Cryer secured a commitment from him that Steeton would not close for at least six months. "The minister was left in no doubt that there is strong support to retain the facility," says Cryer. "What we have now is a further six months for VOSA to consult locally to see what can be done to either keep the site, or for an alternative testing infrastructure to be built."