Monday 20th Nov 2017 - Logistics Manager

Toxin Tax could damage London economy, warns RHA

The RHA has warned that the London economy risks being damaged by the new Toxin Tax and the Ultra Low Emission Zone.

All older diesel vehicles registered in 2006 or earlier which enter the central Congestion Charge zone, now face paying an additional £10 toxin tax on top of the Congestion and Low Emission Zone charges. According to the RHA, these vehicles already pay £200 a day for driving into the capital’s Low Emission zone.

“We fully appreciate Mayor Khan’s vision for a cleaner, healthier London,” said Richard Burnett. “It’s a city that is justifiably proud of its position as one of the world’s great business centres and tourist attractions.

“However, to further penalise the industry that is responsible for keeping the shelves of its stores, restaurants and tourist attractions is not the way to do it. It’s wrong to punish the lorry industry that moves the UK economy.”

He said that road freight industry is responsible for the movement of 98 per cent of all the foods we eat and an overwhelming proportion of everything consumed in the UK. “Yet once again we are the ones getting penalised for doing a crucial and essential job; keeping the economy – especially the economy of London moving,” he adds. “The T-Charge on lorries is a modest tax, but the coming changes the mayor plans for ULEZ in 2019 will be a massive tax burden.

“It will impose taxes on those operators of lorries just a few years old who simply cannot afford replace nearly new lorries – we will see jobs lost and hauliers put out of business to achieve very modest air quality improvement. It will mean prices consumers have to pay rising at a time of uncertainty over Brexit that’s a threat to the UK economy.”