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HGV Road User Levy becomes law

  • 28 February 2013
  • By Christopher Walton

The HGV Road User Act has become law meaning all LGVs weighing more than 12 tonnes will be charged up to £1,000 a year to use UK roads from April 2014.

As previously confirmed by the Department for Transport UK-registered commercial vehicles will, in the main, be compensated for the charge by way of reductions in VED. By law the scheme cannot discriminate between UK-registered vehicles and vehicles from elsewhere in the EU.

UK hauliers will pay an annual or a six monthly charge for each LGV and, in the same transaction, pay VED. Foreign hauliers can pay daily, weekly, monthly or annual charges. Non-payment of the charge will be a criminal offence for operators of all nationalities, which could result in a fine of up to £5,000.

Roads Minister Stephen Hammond said: “Every year there are around 1.5 million trips to the UK by foreign registered lorries but none of them pays to use our roads, leaving UK businesses and taxpayers to foot the bill. In contrast, when UK hauliers travel abroad then in most cases they have to pay to use the roads.

“This new act will help the UK logistics industry remain competitive by making sure that operators from abroad are paying towards the cost of building and maintaining the UK’s roads as well as creating a level playing field for domestic operators.”

See CM’s guide to the HGV Road User Levy for full details of the scheme.

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Article source: http://www.commercialmotor.com:80/latest-news/hgv-road-user-act-becomes-law