Only a cut in the current fuel duty rate of 57.95ppl will support the competitiveness of the UK economy, according to the UK’s Road Haulage Association (RHA). That’s the view of only UK organisation dedicated to those responsible for the movement by road of 85 per cent of the UK economy.
“Hauliers have no choice but to pass on the cost of fuel to their customers”, said RHA chief executive Richard Burnett. “Fuel alone accounts for up to a third of an HGV’s running costs. A modern 44-tonne articulated truck will give around 8mpg and typically cover 73,000 miles a year. To do that, it will use 41,483 litres (9,125 gallons) of diesel at a cost today of £39,496 ex-vat and every penny increase – either in fuel duty or the actual price paid at the pump, adds over £400 a year to its operating costs”.
He adds: “Fuel duty, currently standing at 59.75 ppl, undermines competitiveness. It absorbs the working capital of haulage businesses. And its impact in the more remote areas of the UK, which are further from suppliers and major markets, is especially damaging.”