Logistics UK welcomes new legislation to accelerate delivery of critical transport and energy grid infrastructure announced in the King’s Speech

Wednesday 17 July 2024

Following the new government’s first King’s Speech, Michelle Gardner, Deputy Director – Policy at Logistics UK commented:

“The government has rightly put economic growth at the centre of its ambitions through its first King’s Speech, and our members will welcome the new legislation to accelerate the delivery of critical transport and energy grid infrastructure. With the right planning policies, the logistics sector can optimise the movement of freight and speed up progress to net zero, helping to kickstart economic growth throughout the whole of the UK.

“It is encouraging that local leaders will be empowered to deliver for their communities through credible economic growth plans. Regional mayors and local areas have the opportunity to work with the logistics sector to unlock productivity benefits for all businesses, in their regions and beyond. However, it is essential that Local Growth Plans are robust and ensure further English devolution genuinely supports the economy rather than creating patchworks of rules that add to the cost of doing business.

“The planned Railways Bill should end confusion over rail reform and it is encouraging that Great British Railways will have a statutory duty to promote the use of rail freight in addition to an overall growth target set by the Secretary of State. While we welcome the government’s commitment for safeguards to ensure freight operators receive fair access to the network, we will scrutinise the details when they are published to ensure that rail freight growth is not inhibited by a lack of track capacity or high costs.

“Employers must be at the heart of a reformed workforce training offer, so Skills England is a welcome step as is the reform of the Apprenticeship Levy, which we have called for over many years. Since the levy was introduced in 2017, transport and logistics businesses have paid £825 million in levy funds yet have only been able to recover an estimated £250 million in the same period.

“To succeed in kickstarting growth, the government must tackle costly trade friction with the EU, so it’s positive to hear the government’s commitment to resetting the relationship with European partners. Key to this is ensuring there is a clear plan to prevent the border disruption expected in the autumn when the EU Entry Exit System is introduced in addition to the next phase of the Border Target Operating Model import controls.”

Logistics UK is one of the UK’s leading business groups, representing logistics businesses which are vital to keeping the UK trading, and more than seven million people directly employed in the making, selling and moving of goods. With decarbonisation, Brexit, new technology and other disruptive forces driving change in the way goods move across borders and through the supply chain, logistics has never been more important to UK plc. Logistics UK supports, shapes and stands up for safe and efficient logistics, and is the only business group which represents the whole industry, with members from the road, rail, sea and air industries, as well as the buyers of freight services such as retailers and manufacturers whose businesses depend on the efficient movement of goods. For more information about the organisation and its work, please get in touch - here.