Play fair on tax - hauliers

Mar 15 2010 by Evening Gazette

HAULIERS on Teesside are shouldering a massive three quarters more in fuel taxes compared to their London counterparts, a business organisation said today as it tried to head off more planned increases in this month’s budget.

The North East Chamber of Commerce (NECC) is calling on the Government to rethink further fuel duty rises, after its latest report revealed an extra £85m fuel tax burden for local companies compared with London rates.

It claims the region is paying 74% more than the capital to transport freight – £4.16 per tonne, compared with just £2.39. Chairman, Alan Ferguson, is executive chairman of the Blyth-based hauliers Ferguson Transport.

Teesside hauliers agreed that fuel price rises made the extra miles northern companies had to travel ‘to market’ too heavy a cost, but said it was a problem facing hauliers across the UK.

Anne Preston, from Prestons of Potto, said: “The only answer is to make our fuel prices more comparable with Europe. Goods will always have to travel, and we desperately need manufacturing in this region.

“The Government should take far more notice of road transport and recognise its importance to the economy. It’s a tremendous problem for us. Around 35% of our company’s costs are on fuel.”

Hauliers Eden Transport, employs 15 at its High Heselden premises in Hartlepool. Director Andrew Cracknell said: “We are paying £6,000 a month more for fuel compared to this time last year - and we are small fry compared to some. We can’t reinvest money because it’s being eaten up with taxes.”

James Ramsbotham, NECC chief executive, said the Government had set an upward course for fuel duty - a mindset that had to change in light of the recession.