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Home / News / Increase is real blow, say RHA

Increase is real blow, say RHA

Osborne photoThe Budget announcement that August’s proposed 3ppl fuel duty increase is to go ahead comes as a real blow to the Road Haulage Association.

Commenting RHA Chief Executive Geoff Dunning said: “The Chancellor’s decision to go ahead with this rise is not only disappointing, the reason behind it is hard to understand.

“In the last Budget, the Chancellor seemingly understood the need to stop driving up fuel taxes and he actually cut duty. This time, he seems to have done a complete U-turn. We are struggling to achieve any growth and pump prices have reached record highs – yet he is driving fuel costs even higher.

“Diesel fuel is now the most expensive it has ever been – the RHA’s weekly fuel price survey last week hit an all-time record high – and yet the Chancellor will be driving costs up by another £1,200 a year for a large truck – costs that hauliers must now set about trying to recover from their hard-pressed customers.”

“But it is not just the haulage industry that can’t afford this increase; neither can the industry’s customers, nor the UK economy. We have shown the Chancellor how he can use a fuel duty cut to stimulate growth at no cost to the Treasury. We are extremely disappointed that he has chosen to ignore this research and has taken the opposite path.

“Mr Osborne has taken a wrong turning and is driving us in the wrong direction on fuel duty. His decision will cost jobs, especially in the more remote parts of the UK.

“We may be down but we are certainly not out and we will continue to push for a fairer deal for hauliers. We hear about taxes on growth, we will be pushing even harder to make sure that UK transport operators are given the chance to grow.”