Member News – 20 May 2026

20 May 2026

In this issue:

• Middle East conflict: Government announces extension to Fuel Duty freeze, road tax holiday and red diesel duty rate cut.
• Zero Emission Vehicles – MOT changes from June 2026. 
• Government announces reset of HS2. 
• May half term 2026 Brock deployment. 
• Final reminder to share your views on operating costs and impact of the conflict in the Middle East. 
• Invitation to join an Energy Networks Association webinar.  
• National Vehicle Crime Intelligence Service. 

Middle East conflict: Government announces extension to Fuel Duty freeze, road tax holiday and red diesel duty rate cut

Following sustained engagement between the government and the logistics sector over the cost pressures brought by the Middle East conflict, the Prime Minister and Chancellor announced (20 May) that the planned increase in fuel duty, due in September, will now be deferred until 31 December.

The government also announced:

• A 12-month holiday for HGV Vehicle Excise Duty. VED renewals for HGVs will be £1 for the next 12 months.

• The fuel duty rate on red diesel will be cut by over a third from 10.18p to 6.48p per litre from 15 June 2026 until 31 December 2026 to support agriculture, rail freight, and other users of red diesel and rebated fuels.

Since the start of the conflict, Logistics UK has been calling for the 5ppl Fuel Duty freeze to be extended beyond September, alongside a wider package of measures to support the sector with rising costs. These include: formal recognition of logistics as a priority fuel user within resilience planning; inclusion in the British Industrial Competitiveness Scheme to reduce electricity costs; extension of full expensing to leased zero-emission commercial vehicles; targeted incentives to support uptake of low carbon fuels; a pause in business rates alongside wider reform to ease cost pressures; and a longer-term approach to mode shift grants.

We also welcome and are supporting recent government action to tackle late payments, as outlined in last week’s King’s Speech.

We are collecting member feedback via the Logistics Performance Tracker survey. Please complete our short survey on SurveyMonkey here or via Microsoft Forms here before it closes on Friday (22 May).

Read our latest Middle East update here which includes data on fuel prices.

Zero Emission Vehicles – MOT changes from June 2026

Following Logistics UK’s engagement on regulatory flexibility for zero emission vehicles up to 4.25 tonnes, the Goods Vehicles (Testing, Drivers’ Hours and Tachographs etc.) (Amendment) Regulations 2026 were confirmed on 12 May and will come into force on 1 June 2026.

This legislation moves zero emission vans between 3.5 tonnes and 4.25 tonnes into the Class 7 MOT regime, meaning they will be tested to the same standards as lighter goods vehicles. However, they remain classified as N2 vehicles and are not reclassified as N1.

The changes introduce a modified regulatory framework, with some lighter-vehicle requirements applied while certain rules linked purely to vehicles over 3.5 tonnes are amended or removed. Operators should be aware that this may create differences between MOT standards and wider legal obligations.

DVSA has also confirmed the testing timetable. These vehicles will follow the standard Class 7 pattern, with the first MOT due three years after first registration. Where a vehicle has already undergone an HGV test, no further MOT will be required until it reaches three years old, avoiding duplicate testing during the transition.

These changes support the transition to zero-emission fleets by simplifying testing requirements, but operators should ensure vehicles remain compliant with the full range of applicable regulations, not just MOT standards.

Government announces reset of HS2

Transport Secretary Heidi Alexander has this week announced a reset of HS2. The reset includes revised costs of £87.7–£102.7 billion and significantly extended timelines, with initial services between Old Oak Common and Birmingham now expected between 2036 and 2039 and full delivery in the early 2040s.

The reset also includes changes aimed at reducing complexity and cost, such as potential lower operating speeds and tighter programme controls. While HS2 itself will not carry freight, the release of capacity on the existing rail network, particularly the congested West Coast Main Line, would enable additional freight paths and support the rail freight growth target.

May half term 2026 Brock deployment

The Kent and Medway Resilience Forum Traffic Management Operations Group (TMOG) met on the 14 May to discuss the May 2026 half term holiday period and associated risks to the Strategic Road Network and local authority roads. The period of risk is 21 May to 25 May 2026, where freight and tourist volumes are simultaneously high.

Based on the information provided at TMOG, the weekend of 22 to 24 May 2026 was identified as being at risk of disruption due to increased passenger volumes. It was agreed that Operation Brock would be deployed overnight on Tuesday 19 May 2026, ready for Brock to be operational from 6am on Wednesday 20 May 2026.

It was further agreed that Brock would be removed overnight on Tuesday 26 May 2026, with the M20 returned to normal configuration by 6am on Wednesday 27 May 2026. Members who have drivers travelling through the Short Straits between the above dates are encouraged to have all required documentation ready before arriving at the port. Members should ensure drivers have enough supplies with them, such as food and drinks, as well as allowing extra time to pass through the ports.

National Highway’s advice can be found here.

Final reminder to share your views on operating costs and impact of the conflict in the Middle East

This is the last week to take part in our two policy surveys, so please do spare some time to complete these before they close on Friday 22 May. 

The Logistics Performance Tracker (LPT) Q1 survey is seeking members’ feedback on how the ongoing Middle East conflict is causing operational and cost challenges within the industry and supply chains. The information provided through this survey is invaluable in our discussions with government on members’ behalf. 

The Manager’s Guide to Distribution Costs (MGDC) survey seeks to gain insight into quarterly costs for wages, vehicle operating costs and haulage rates for comparison against UK trends. This information collected each April helps Logistics UK to produce the long-established guide used by transport managers and freight forwarders as a budgeting tool. 

Only respondents to the LPT survey will receive a full copy of the results. 

Respondents providing usable information for the MGDC survey will receive a complimentary copy of the main Guide plus three quarterly updates.

Compete LPT here and MGDC here.  

Invitation to join an Energy Networks Association webinar

The Energy Networks Association (ENA) is running a webinar on the Transport Connections Guidance tool, designed to support organisations at the early stages of electrification.  

This session will introduce the tool, explain why it was developed, and demonstrate how it can help transport stakeholders plan electricity connections for new or expanding electric assets. 

Through a live walkthrough, the ENA will demonstrate how the tool works for non‑technical users and simplifies complex concepts. Attendees will also hear user insights, have the chance to ask questions, and share feedback to help shape future improvements.

Members can register for the webinar here. 

National Vehicle Crime Intelligence Service  

The fortnightly National Vehicle Crime Intelligence Service (NaVCIS) Freight Crime Intelligence Bulletin provides relevant and up to date information and intelligence to police and the logistics industry for the prevention and detection of crime.

Read the update here.

Average EU and UK forecourt prices

Please find the average EU and UK forecourt prices here.