Future UK road-tax reforms must account for fixed delivery schedules, high fleet mileages and businesses’ limited ability to change routes, a new coalition involving Logistics UK and the Road Haulage Association (RHA) has warned.
The Road Pricing Coalition, launched on 16 October by seven trade associations, wants commercial operators involved in designing future charging arrangements before key decisions are taken.
Its launch report argues that businesses operating across different regions could face significant administrative burdens if national and local schemes develop separate registration systems, payment methods and vehicle classifications.
It calls for government to assess the combined cost of existing taxes, tolls and local charges before introducing new mechanisms, including the expense of administration, technology and enforcement.
RHA managing director Richard Smith said: “Road transport is an enabler of the whole economy. Our members move the goods that keep businesses operating and communities supplied, so changes to the way road use is taxed will be felt far beyond the haulage sector.
“A cross-sector Coalition gives industry a stronger voice to make sure future reforms are workable, proportionate and support growth.”
Alongside the RHA and Logistics UK, founding members are the British International Freight Association, British Vehicle Rental and Leasing Association, Chemical Business Association, British Association of Removers and Construction Plant-hire Association.
The coalition says it is not campaigning for the introduction of road pricing or endorsing a particular replacement for fuel duty. Its aim is to give government access to operational evidence from businesses that depend on the road network.
The report highlights differences between commercial fleets’ ability to adapt. Customer delivery windows and site-access restrictions can limit opportunities to change journey times, while suitable electric vehicles and charging infrastructure are not equally available across all operations.
Rental and leasing businesses face additional questions over responsibility for charges, changing drivers and reconciling mileage. Smaller operators could also struggle with administrative requirements that larger fleets have the resources to manage.
The coalition proposes five principles: business engagement throughout policy development and delivery; alignment with economic growth and decarbonisation; fair treatment across sectors, vehicles and regions; gradual implementation supported by evidence; and coordinated charging arrangements. It also wants comparable obligations for UK and overseas operators using the same roads.
The initiative comes as electrification reduces the fuel-duty revenues on which the government has traditionally relied.
Electric Vehicle Excise Duty (eVED), scheduled to begin in April 2028, will introduce mileage-based taxation for UK-registered battery-electric, hydrogen fuel-cell and plug-in hybrid cars, including company cars.
Initial rates will be 3p per mile for battery-electric and hydrogen cars and 1.5p for plug-in hybrids, payable alongside existing Vehicle Excise Duty. Vans and heavy goods vehicles are outside the initial scheme.
However, the Office for Budget Responsibility estimated in November 2025 that eVED would replace around a quarter of the overall fuel-duty revenue decline projected by 2050/51, leaving a substantial longer-term fiscal challenge.
Tim Doggett, chief executive of the Chemical Business Association and chair of the coalition, said businesses needed to help shape the response.
“Government has time to get this right, but the conversation needs to start now. Commercial road users need to be in the room from the beginning, not brought in once the fundamental decisions have already been made,” he said.
IntraLogisteX takes place on 17-18 March 2027 at the NEC Birmingham. For exhibitor information and sponsorship opportunities, visit the official event website at www.intralogistex.co.uk
