International Road Transport Permits (EU Exit) Regulations 2018

Lord Bradshaw Excerpts

Tuesday 6th November 2018 Lords Chamber

[Lord Berkeley (Lab)]

My Lords, I am grateful to the Minister for introducing these three draft statutory instruments. She has done well in trying to explain them in a reasonably clear way. This is highly complex and I can see quite a few pitfalls ahead. The Minister rightly said that there are 7.8 million journeys between the UK and the EU per year. If they are all to be replicated by licences, that is quite a load on the DVSA. Can she confirm that it will be staffed to do this? What will be the maximum time it will take for applicants to receive their licence? It says in the Explanatory Memorandum that applications open in November and the licences become valid from 1 January, so one might assume that the return time will be one month, but I hope it will not be much longer than that. If I ask for a categorical assurance I will not get one, but I hope the Minister can give us some response.

As I read it, Regulation 4 in Part 2 of the International Road Transport Permits (EU Exit) Regulations states that if you have a truck with goods on it heading out of the UK, it will be illegal to operate that truck in the UK if you do not have a licence. It says that,

“an operator must not use a goods vehicle for the carriage of goods on an international journey”.

The international journey starts in the UK. I hope the Minister can confirm that that is not the case and that operators will be free to get to Dover or wherever without fear or favour. The Minister also mentioned Northern Ireland and the Republic of Ireland. I think these regulations apply equally to that, so everybody will have to have the same licences for that.

My next question for the Minister is about the allocation of numbers. We discussed this a month or two ago and I was not wholly comforted. The allocation of numbers is obviously a bilateral arrangement and, as she said, it will probably have to be done separately with each member state. I do not know how much traffic will go to the non-member states listed in the regulations, but they still deserve negotiations. The Minister did not explain what all the exemptions for each country mean, probably mercifully for us. How will the allocation of permits be done fairly and transparently? As we know, about 80% of the trucks crossing between the UK and the EU are non-UK owned and operated. I think a large proportion are probably Bulgarian and Romanian. The Minister said that the process will be fair and transparent and that the Government will produce some guidelines. When will we receive those guidelines? What does the industry think about this? If this is not sorted out pretty quickly, the traffic jams at Dover that so many people are talking about could become a reality. The Minister and her colleagues have a mammoth task but, to keep traffic moving, it has to happen.

I have just one comment on the Road Safety (Financial Penalty Deposit) (Appropriate Amount) (Amendment) Regulations. I did not really understand the exemption that she mentioned between Northern Ireland and the Republic. There will of course be quite a few trucks that start in Northern Ireland, drive through the Republic and then catch a ferry to France. There are several ferry services operating at the moment and more will probably come. Will they be exempt from these regulations or not?

The penalties look pretty cheap to me; I imagine the drivers will just come with a few wedges of £100, and that will be all right. And who enforces these regulations? I expect the answer will be nobody and a blind eye will be turned to the whole thing. There is no point in putting all this time and effort into producing these lists of regulations and penalties if they are not enforced. If they are designed to discourage people from disobeying the law, they look pretty feeble. I look forward to the Minister’s response.

[Lord Bradshaw (LD)]

The Secretary of State visited Dover in the last few days. I preceded him by a few days and was absolutely shattered by the level of activity there, and how efficiently it is run. Some of the ferries go to France and back five times a day. They are unloaded with remarkable discipline, then loaded up again, and are on their way within 40 minutes or so.

Airy remarks have been attributed to various Ministers: things like “Oh well, we will divert the ships somewhere else”. This is absolutely impossible. The infrastructure at the Port of Dover is not replicated anywhere else. As for getting ships, even if we wanted them, there are very few ro-ro ships available. This sort of airy-fairy remark trivialises the importance of the industry. Everybody is waiting for concrete evidence that we will reach some sort of deal. A no-deal situation would be absolutely catastrophic for the haulage industry.

There is an article about this in today’s Times. It refers to the lottery, to which the noble Baroness also referred, and the fact that hauliers do not seem to know how a lottery will work. The big hauliers want the permits, if they are restricted in number, but the small hauliers want a fair share of the action. Everybody is crying out for fairness, but the idea that this will be conducted by some sort of Department for Transport lottery is very difficult to understand. The Road Haulage Association and the Freight Transport Association are pretty well in despair and do not know what they are to do if an agreement is not reached.

I also raise a point about foreign drivers. Britain’s road haulage industry is very dependent on foreign drivers, by 30% or 40%. Reaching an agreement that enables us to keep our own traffic moving is important. These are very important issues, rather than trivia that can be swept aside. They really matter and will matter even more from the end of March onwards, in ensuring that we continue to have food on our tables and spare parts in our factories.