Logistics UK’s Top 10 policy wins for 2023

Spring Budget 2023   

On 15 March, the Chancellor of the Exchequer, Jeremy Hunt MP, announced changes to government policy in the Spring Budget 2023. Amongst key updates on employment, energy and infrastructure, it was confirmed that the 5ppl Fuel Duty cut – originally introduced in March 2022 – would be retained for a further 12 months. Logistics UK  consistently urged government to extend the duration of cut, while maintaining revenue levels through VAT and other sources, and emphasised that this should support businesses as they need to have the funds to invest in productivity, growth and greener technologies.   

Logistics UK joins Freight Energy Forum   

Logistics UK is delighted to be a part of the new influential industry-government Freight Energy Forum, established as part of the Future of Freight plan. The forum aims to support all transport modes in the transition to net zero by 2050, create a plan to roll out future industry energy infrastructure and explore solutions to help the freight sector start reducing emissions immediately.  Logistics UK is leading a Workstream on behalf of the forum looking at the energy needs of the sector.   

Changes to weight limits for alternatively fuelled vehicles  

Following the legislative change that allows certain vehicle categories to have an increase in their weight limit if they are alternatively fuelled, Logistics UK successfully argued this should also apply to those already registered.    

Through engagement with the Driver and Vehicle Standards Agency (DVSA) and the Department for Transport (DfT), Logistics UK highlighted that the legislation was restrictive due to not allowing modifications of vehicles already registered. Additionally, the business group highlighted that a retrospective allowance would aid the government’s drive towards net zero.  

Following this engagement, it has now been agreed that where a current internal combustion engine vehicle is converted to be alternatively fuelled - and following a notifiable alteration to the DVSA - the gross vehicle weight limit increase of 2.0 tonnes for certain zero emission vehicles and up to 1.0 tonne for certain alternatively fuelled vehicles now applies to existing vehicles, providing the vehicle has the necessary design axle and gross weight capacity. Logistics UK will continue to campaign for the same changes to be implemented in Northern Ireland when local devolved government is restored.  

Autumn statement 2023 – full expensing and the planning system   

On 22 November , the Chancellor of the Exchequer made his Autumn Statement, which contained encouraging signs for logistics businesses looking to drive recovery in the economy. Ahead of the announcements, Logistics UK made a submission to the Chancellor, calling for innovative and integrated infrastructure, a fair transition to a green economy, skills partnerships to support a thriving sector and trade to be backed as a driver of innovation and productivity. We worked with several other trade bodies, including the Finance and Leasing Association (FLA) and the British Vehicle Rental and Leasing Association (BVRLA) to make the full expensing allowance for capital spending permanent after it was due to end in March 2026 as this will provide certainty for logistics operators planning investments in their commercial fleet vans.   

Logistics UK was very pleased to see the announcement that the full expensing allowance for capital spending will be made permanent.   

An additional win included news that the planning system is to be streamlined, with local authorities set to be able to recover full costs of major planning applications in return for meeting guaranteed faster timelines. Logistics UK has been pressing for changes to be made for some time to speed up the planning system – particularly as the sector transitions to increasingly electrified fleets.   

Longer semi-trailers enter general circulation   

After calling for this change for many years, Logistics UK welcomed the Department for Transport’s decision in May 2023 to end the Longer Semi-Trailer (LST) trial and to bring these trailers into general circulation, based on the overwhelming evidence that LSTs were no less safe than regular trailers. This trial originally began in 2012 and saw around 3000 trailers being operated on the road network under certain conditions, some of which will still need to be complied with in general circulation.  

Infrastructure developments  

Following Logistics UK’s policy ask, the newly revised National Highways circular has increased its focus on freight and logistics and recognises the need for investment in roadside facilities, as well as the UK’s charging infrastructure to support the switch to electric vehicles. The circular is a policy paper which explains how National Highways will engage with the planning system.  

Logistics UK pushed for the updates to the circular to help tackle the shortage of lorry parking and driver facilities, alongside other measures such as addressing challenges around the planning system. These asks were included in our policy position paper, which we shared with government, and we provided detailed feedback into the consultation on the draft circular following member engagement.  

DVSA releases the 2023 update to the Guide to Maintaining Roadworthiness  

The Driver and Vehicle Standards Agency (DVSA) has now released the updated Guide to Maintaining Roadworthiness (GTMR). Work on the revised GTMR started in early 2022 but its release had been delayed due to a number of issues being highlighted. Logistics UK was fully involved in the review of the GTMR and with the help and support of its Engineering Forum members, agreed a set of amendments that meet with the aspirations to improve roadworthiness, yet are reasonable in their implementation.   

New study announced for Wales rail transport   

On 2 February, the DfT announced a study that will help develop options for new stations and services on the South Wales Main Line, in response to the findings of the Union Connectivity Review. Logistics UK has been calling for greater collaboration between the Welsh and UK governments, which it included in its response to the review.  

The study includes £2.7 million of funding from the UK government and will help to ease congestion on the M4 by improving rail transport options in the region – a development that is welcomed by Logistics UK. A series of options will be considered as part of this study, among which is the development of five brand new stations between Cardiff and the Severn Tunnel.  

Posting of workers – fairer regulation for UK drivers   

The UK government has agreed to Logistics UK’s request to participate in the Internal Market Information (IMI), the EU portal where European-based companies can make one single declaration to demonstrate compliance with posting of workers' legislation. UK companies who have sent their drivers to EU countries are already subject to these reporting requirements inside of the EU. This will help to protect domestic UK operators against unfair competition from non-resident companies by ensuring that foreign drivers are being paid at least the legal minimum.  

Opening of Phase 2 of the new A6 dual carriageway from Dungiven to Drumahoe in Northern Ireland  

April marked the completion of Phase 2 of the upgrade to the A6, with the dual carriageway acting as a strategic economic and logistics corridor between Derry and Belfast. Logistics UK has been calling for this scheme for a number of years, and is delighted it will provide a shorter, safer and more reliable journey times for logistics businesses. 

Published On: 07/12/2023 12:30:00

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