IRU Brexit Workshops

On 23 May 2018 FTA staff met with representatives of other European transport trade associations at a workshop on Brexit and road haulage organised by the IRU: key elements of the meeting included market access arrangements for road haulage and the shape of future customs arrangements.

The market access discussion started with the ‘default’ solution available in case of no deal: the OECD (Organisation for Economic Co-operation and Development) permit scheme (ECMT). This option was rejected by all participants, who concluded it was not a serious or suitable option to sustain traffic between the UK and the EU post-Brexit. The scheme was not designed as a ‘standalone solution’ for the UK’s volume of trade and no country relies on ECMT alone given the constraints in the number of permits available (ECMT would cover less than five per cent of demand).

All participants agreed that an alternative solution for road transport market access was needed but agreeing what form this should take proved more difficult. The perception was that other factors than transport would come into play, particularly political. Market access for road haulage is unlikely to be dealt with in isolation, and wider political priorities and choices could have a significant impact on the debate and the outcome for road transport. Many participants highlighted that a permit system would be costly and cumbersome to manage, both for authorities and for industry.

Many participants felt a permit system might be inevitable, for a variety of reasons (precedents, political reasons, UK red lines regarding regulatory divergence…). No participant questioned the fact that, whatever the nature of the agreement, it should be negotiated at EU level. The debate about cabotage was limited, and the few participants who talked about it (from European industry associations) pleaded in favour of continued cabotage after Brexit.

The customs discussions centred on the impact of border controls, the need to minimise delays, and Authorised Economic Operator status (AEO). FTA pointed out that only a small proportion of border checks are related to fiscal matters, and that solutions will need to be found for regulatory checks. And on driver licensing and CPC (Certificate of Professional Competence) recognition, FTA highlighted the need to find urgent solutions to ensure that both driver licences and qualifications continue to be recognised after Brexit.