Lorry levy a success after only four months

The HGV road user levy has made more than £17 million in the four months since it came into operation, says the UK Department for Transport. More than 618,000 levies have been purchased for over 112,000 vehicles from 76 different countries since the HGV road user levy was introduced in April 2014 – which has produced enough money to patch more than 320,000 potholes on the UK’s roads. Recent evidence shows over 95% of heavy goods vehicle operators are paying the new levy in Great Britain. Roadside chec
August 15, 2014 Read time: 2 mins

The HGV road user levy has made more than £17 million in the four months since it came into operation, says the UK 1837 Department for Transport.

More than 618,000 levies have been purchased for over 112,000 vehicles from 76 different countries since the HGV road user levy was introduced in April 2014 – which has produced enough money to patch more than 320,000 potholes on the UK’s roads.

Recent evidence shows over 95% of heavy goods vehicle operators are paying the new levy in Great Britain. Roadside checks have seen DVSA enforcement officers issue over 850 fixed penalty notices to drivers who have not paid – resulting in fines worth more than £250,000.

Transport minister Robert Goodwill said: “I welcome these figures which show that the levy brought in by this government is really working. We anticipated the levy would generate around £20 million a year – to take £17 million in just four months is impressive and shows that compliance has remained high since introduction.

“Before the levy was introduced we had a ridiculous situation where foreign HGV drivers could fill up their tanks on the continent, pick up business in the UK and return to the mainland without even buying fuel here – without giving a penny to help maintain our roads.

Meanwhile British hauliers were effectively operating at a disadvantage. I’m glad to see this levy has addressed that imbalance.”

James Hookham, from the Freight Transport Association, said: “UK road freight operators have consistently argued that foreign-registered HGVs operating in the UK should contribute to their use of our roads. The HGV levy ensures this, and in so doing helps those domestic UK hauliers who are in direct competition with foreign carriers for loads.”

All hauliers driving trucks of 12 tonnes or more must pay the levy before using UK roads, but UK hauliers do so when buying their vehicle excise duty to keep administration costs to a minimum. Discounts are available for longer periods, with charges varying between £1.70 and £10 per day or £85 to £1,000 per year.

The levy is part of the coalition’s promise of a fairer deal for UK hauliers, which includes cutting the duty paid on standard diesel to less than it was in October 2010 and freezing HGV vehicle excise duty during this Parliament.

For more information on companies in this article

Related Content

  • Rail freight volumes expand in key markets
    February 27, 2017
    Consistent expansion in the key emerging consumer and construction rail freight markets both in the latest quarterly and the accumulative annual Office of Road and Rail (ORR) figures, demonstrates confidence and the potential of the sector, according to Freight on Rail. According to the figures, consumer traffic¸ which has increased all year, grew over five per cent in quarter three compared to last year, setting a new record for the highest amount of freight moved per quarter since quarterly figures wer
    Read More
  • LGA report forecasts introduction of road tolling
    November 27, 2012
    A report by the Local Government Association (LGA), the organisation representing councils in England and Wales, predicts road tolling or pay as you drive road pricing could be introduced by 2018. With traffic predicted to nearly double over the next 25 years, the LGA believes the Government will have to consider tolls or even pay as you drive road pricing to raise the money it needs.
    Read More
  • Criticism from KPMG for Chancellor’s summer budget
    July 9, 2015
    KPMG has criticised the UK Chancellor for lack of investment in regional transport infrastructure in his Summer Budget 2015. Chris Hearld, chairman for KPMG in the North, said: “Once again we have seen the Northern Powerhouse being a key plank to the Chancellor’s Budget announcement. We have always maintained that for the Northern Powerhouse to succeed, all parts of the region need to be brought on board, so it was encouraging to hear that following the lead set by Manchester, devolution deals are in the
    Read More
  • FTA says any speed limit must be properly enforced
    July 30, 2013
    In response to the announcement that average speed cameras are to be introduced on a stretch of the A9 in Scotland, the Freight Transport Association (FTA) has said that any speed limit must be properly enforced. The decision to install the new average speed camera system which will run from Dunblane to Inverness follows an on-going review of evidence as well as careful consideration of the views of the A9 Safety Group – to which FTA has contributed on behalf of its members over the last year.
    Read More

Highlighted Content