A targeted fuel duty support package for truck, van, and coach operators, along with the cancellation of planned fuel duty hikes, is needed to help support the transport sector says the RHA, reports Peter Brown.
RHA managing director Richard Smith warned that rising costs are threatening supply chains and driving inflation across the economy. “As a result of global events, fuel costs for businesses have risen by over 40%,” he said.
“Operators are already working on tight margins, running essential services that cannot simply be switched off. Many cannot absorb what they are being asked to absorb.
“Where costs cannot be absorbed, they are passed on through the supply chain, meaning higher prices for households and more inflationary pressure on an economy that can ill afford it.”
He stated that, as the majority of goods and services are transported by road, the road transport sector is crucial to the economy and to the everyday lives of people, communities, and businesses across the nation.
“We’re calling for an Essential User Rebate for commercial vehicles, which would allow operators to reclaim fuel duty,” he said.
“Our second ask is equally straightforward: scrap planned future fuel duty hikes. Any further fuel duty increase would send the wrong signal at the worst possible time. It would be a hammer blow to businesses and the supply chains the economy depends on.”
He pointed to action taken elsewhere in Europe, with rebate schemes in the Republic of Ireland and Spain, while Portugal and Italy have cut fuel taxes.
He added: “The tools are there for the UK government to act. The current situation is unsustainable. The Prime Minister has said he is keeping support under review.
“With respect, we have moved far beyond the review stage. Our essential industry needs action now. Our message is clear: back essential users of fuel with targeted support and scrap planned fuel duty hikes.”
