HGV Road User Levy Bill (Ways and Means) Debate

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Department: Department for Transport

HGV Road User Levy Bill (Ways and Means)

Thérèse Coffey Excerpts
Tuesday 23rd October 2012

(12 years, 1 month ago)

Commons Chamber
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Huw Irranca-Davies Portrait Huw Irranca-Davies
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The Minister is already nodding. I am slightly disappointed, because hauliers want an assurance that under the provisions VED will be cut proportionately to the levy and that they will actually benefit. I have been in the same situation as the Minister, and it would be great if he could assure them that come what may, there will be proportionality and that people will gain, or at least not lose out.

The measure is all about creating a level playing field with our European counterparts, because we have been disadvantaged. Can the Minister give us an assurance that UK hauliers will not lose out? If many will gain, but some will unfortunately lose out compared with others, can he tell us why that is and who they may be? I suspect I may have difficult messages for some of the hauliers in my patch who assume they will all be winners under the mechanism.

Thérèse Coffey Portrait Dr Thérèse Coffey (Suffolk Coastal) (Con)
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The hon. Gentleman makes a fair point about the message we need to deliver to our constituents. Does he recognise though that it should not be about the UK being a winner, but making sure that we get money from foreign users? That is the key point.

Huw Irranca-Davies Portrait Huw Irranca-Davies
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The hon. Lady makes a good point. It is not a case of us being winners. I think the hon. Member for Spelthorne slightly misspoke earlier when he talked about putting protection in place. As the hon. Lady says, it is not to do with protection for us, but with creating a level playing field. I am sure the hon. Gentleman did not intend to suggest that we want fortress mechanisms; it is about getting a level playing field.

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Thérèse Coffey Portrait Dr Thérèse Coffey (Suffolk Coastal) (Con)
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I, too, have been tempted to contribute to the debate, as it relates to the port of Felixstowe in my constituency. The port is not known for its roll-off carriers and the immediate access it provides for foreign vessels to the A14, but the A14 is a key artery that starts in my constituency and cuts across to the midlands, passing not far from the constituency of my hon. Friend the Member for North West Leicestershire (Andrew Bridgen).

As has already been referred to extensively, hauliers feel that it is right that foreign hauliers pay their fair share. Some points have already been made today about how we can ensure that a fair share is paid. I know that it is planned that the database will be given to a private contractor to follow this through, so I wonder whether at the same time it might be given a bonus for using the database to recover fines for other traffic regulation violations.

It is important to send to our haulage companies the message that this is not a tax on them, that the Government are aware that they cannot keep imposing extra charges on British businesses and that there will be compensation the other way through lower vehicle excise duty. My understanding is that, although there will be no winners as a result of this scheme, there could be some losers, which is concerning for some of our larger firms. We need to ensure that we are careful in how we deploy the regulations that will be introduced.

I can see that the Minister is a bit busy at the moment, but I am meeting him tomorrow with a delegation of MPs from Suffolk, and he will certainly be hearing from me that one of the proposals for the A14 might be to start tolling. I am a good Conservative and not necessarily against road tolling in all parts of the country, but the Government need to think about that where new capacity is brought in, and should not just pick key logistics routes. Therefore, if not all money raised through the levy is to go back to British hauliers through a reduction in VED—I know that the Minister has to be careful with the European Commission in how that happens—I will be asking him tomorrow instead to think about how some of it might be used to avoid tolling on a trans-European network road. I am delighted to support this ways and means motion.