Tax increases to logistics sector will harm growth, warns Logistics UK

Speaking after Chancellor Rachel Reeves’ pre-budget speech on 4 November, business group Logistics UK’s Acting Chief Executive Kevin Green commented: “Increasing the cost of doing business for logistics companies is counterproductive and will put the hand brake on growth and drive inflation.

“Whether tax increases come from fuel duty, employer National Insurance Contributions (NICs) or business rates, the result will be the same: higher prices for households and businesses.

“Profit margins in the road haulage sector are around 2% and almost 500 hauliers went bust last year. The sector simply cannot afford to absorb any more costs, so a tax on logistics will be a tax on everyone.”