French HGV Transit Tax Officially Dead

Between fuel, maintenance, HGV training costs, and everything else involved in the haulage industry, operating heavy goods vehicles in Europe can be quite an expensive venture. Therefore, it is always good to see a government change its mind about increased taxation. Such is the case in France, where the much-maligned HGV Transit Tax is now officially dead.

A number of news sources are reporting that the French Ministry of Transport has decided to suspend implementation of the tax indefinitely. The tax was intended to raise money for infrastructure improvements, rationalise road transport and reduce the environmental impact of the haulage industry in France. It was set to be implemented early next year (2015), collecting money from all HGVs in excess of 3.5 tonnes driving on state roads. It would have applied to both foreign and domestic vehicles.

It is interesting to note that the HGV Transit Tax was conceived as a replacement for the equally unattractive eco-tax that preceded it. That tax was suspended twice before the French government finally gave up on it. Now that the Transit Tax has followed suit, it remains to be seen what the Government will do to raise the revenues it is looking for, if they do anything at all.

By all accounts, it looks as though the French Government will not sit still. A meeting between the Transport Ministry and industry representatives resulted in an agreement to establish a working group that would come up with solutions that are more suitable to the problems within the French haulage and transport industries. The Government says it is committed to helping the industry remain competitive while also maintaining and upgrading the nation’s infrastructure.

Taxation Always Risky

It should be no surprise that the industry was vehemently against both the eco-tax and the HGV Transit Tax. Both schemes unfairly targeted the haulage industry by singling them out as though commercial vehicles are the only cause of air pollution and road damage. Taxation is always risky, but even more so when targeted at a specific group. We hope that the French Government has learned its lesson; it is now hoped that they will work with the industry so that everyone’s goals can be met.

As they work on their issues in France, the HGV Training Centre will continue working hard to provide high-quality commercial driver training here in the UK. We work with individual drivers to prepare them for their HGV or PCV tests by providing both classroom and hands-on instruction. We also work with haulage and transport companies to provide fleet training on an ongoing basis.

If you are considering a career as a professional HGV or PCV driver, we want to speak with you. We have done our best to keep HGV training costs as manageable as possible in order to encourage as many people as we can to pursue a driving career. What’s more, we use a fast-paced and intense training approach that can have you licenced and ready to look for work in weeks. Contact us to learn more.

Sources:

Handy Shipping Guide – http://www.handyshippingguide.com/shipping-news/france-backs-down-to-freight-and-road-haulage-interests-over-hgv-tax_5853