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Road User Charging must avoid double taxation, Logistics UK says


Logistics UK has said that if any Road User Charging (RUC) system is introduced in the UK it must be carefully phased in to avoid double taxation.

The business group is anticipating that a RUC system will be introduced in the coming years to compensate for diminishing tax revenues from Fuel Duty, as the UK is set to end the sale of all diesel and petrol vehicles by 2040 at the latest. While the government has not yet announced a formal policy on RUC, Logistics UK has consulted members to agree a position that will allow it to engage in the wider debate on the issue.

“There are several ways to structure a RUC regime, for example; charging rates could be varied depending on the type of road, the time of day, the amount of congestion and the environmental performance of the vehicle,” said Michelle Gardner, Head of Public Policy, Logistics UK. 

If introduced, Logistics UK said RUC rates should be set by an independent regulatory body to ensure the system is interoperable across the UK and is governed in a transparent and fair way.

“It is imperative that any RUC strategy and policy is developed in close consultation with the logistics sector to ensure the decisions are balanced between user interests, government objectives and stakeholder views,” Gardner said, “Logistics UK will continue to work closely with government and members to ensure that this is followed and implemented within any future plans.”

*www.logistics.org.uk/road

Published On: 11/08/2022 16:00:30

 

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