HGV Road User Levy Bill

Louise Ellman Excerpts

Tuesday 20th November 2012 Commons Chamber

[Mrs Louise Ellman (Liverpool, Riverside) (Lab/Co-op)]

I, too, support this Bill, which is about backing the UK haulage industry and helping to create a level playing field. The impact of the freight industry on the UK economy is strong—the turnover for road freight is £23.9 billion a year; it adds gross value of £10.7 billion a year; and employs 299,000 people in 30,000 enterprises. The sector is important and its impact on the economy is great. The issue concerns disparities in cost between UK-based hauliers and foreign hauliers, and relates to differential fuel and road charging costs, as well as what are often seen as different safety standards, which also impact on cost. The legislation also deals with cabotage, which is the subject of ongoing European Union negotiations. The Transport Committee has taken up this matter—indeed, it first considered it a long time ago in 2009 when we looked at road charges and taxation. The issue was taken up again in 2012, and we returned to it this July with a session of the Transport Committee on road freight.

In 2008, the Government started to take action and proposed a vignette. Much to the Committee’s regret, however, that was not pursued and no real action was taken. An alternative to taking action on charges was the allocation of an additional £24 million to the Vehicle and Operator Services Agency to enforce safety standards for foreign—and domestic—vehicles. Something was done, although it was not the action for which the Committee was hoping.

I have one or two points that I hope can be considered today or—perhaps more likely—in Committee. Will the impact of this legislation and the cost for UK hauliers be monitored? We heard in the Transport Committee, and the Secretary of State repeated today, that the overwhelming majority of British hauliers will not face any extra costs. Will that be monitored to ensure that that intention is realised? Will the agencies charged with implementing and enforcing the scheme—DVLA and VOSA respectively—have sufficient resources to do their job properly? Will debts of overseas hauliers be collected, in view of the Government’s decision not to sign a cross-border agreement on enforcing debt? What is the current position on cabotage, which I know is giving some concern to UK hauliers? Those points are important although I know they will be discussed in Committee. I support this Bill, and agree with the Secretary of State that it has been a long time coming.