RHA calls for urgent action on fuel duty

The Road Haulage Association (RHA) has written to the chancellor, Rachel Reeves, today, requesting an urgent meeting about the impact of fuel prices on road transport operators, and an immediate fuel duty cut.

The RHA has warned that a 16.25 per cent spike in bulk fuel prices over the past seven days poses a serious risk to the UK economy, costs faced by households, and the viability of haulage businesses.

With the road haulage sector underpinning 81 per cent of all freight movement in the UK and operators working on margins of less than two per cent, the association says that the current fuel price surge is pushing many companies to the brink.

It is urging the government to cut fuel duty immediately by at least 5p, and reverse the planned increase scheduled for September. It is also calling for reduced VAT on fuel, for measures to strengthen UK energy security and refining capacity, and standard 30-day terms to address late payment practices.

The RHA points to independent analysis suggesting that a 5p fuel duty rise could significantly increase household living costs, as well as creating further inflationary pressure.

“The road transport sector is the backbone of the UK economy, and when fuel prices spike, the impact is felt on supermarket shelves and household budgets across the country,” said RHA managing director Richard Smith.

“Our members are operating on wafer-thin margins and have nowhere to absorb these costs. We are asking the government to freeze planned fuel duty increases, act on energy security, and meet with us urgently. Time is of the essence.”