New UK Road Levy Set to Be Enforced from April 1

The HGV Road User Levy Act of 2013 will impose a new levy on all HGV operators using UK roads and will start from April 1. Moreover, while the levy is seen as a means of levelling the playing field between domestic and foreign drivers, there is still some confusion over how it is to be paid by drivers and operators. In order to clear up some of that confusion, the British International Freight Association (BIFA) has issued appropriate guidance to member companies.

From April 1, all HGVs operating on UK roads will have to pay the levy. Owners of domestically registered vehicles will pay at the same time they pay their vehicle excise duty (VED). Owners of vehicles registered elsewhere will need to make payment prior to their vehicles entering the UK. A system is currently being set up that allows such operators to do so via the Internet, dedicated terminals, or telephone, in advance of their travel.

The new levy is based on a number of factors, including vehicle weight and number of axles. The time-based charge offers seven different levy bands coinciding with the UK’s VED bands for domestic vehicles. BIFA has all of the information member companies need in order to make sure they remain in compliance.

Purpose of the Levy

Prior to the HGV Road User Levy Act, international operators using UK roads were not contributing financially to their maintenance and upkeep. UK operators were. The levy was introduced to make sure the playing field was levelled among all operators throughout Europe. With the levy in place, every business using UK roads will be contributing financially to their upkeep.

In addition to providing maintenance funding, the levy also erases the competitive advantage international freight haulers had over their UK counterparts. All operators will now be paying the same fees regardless of where in Europe they work.

Commercial Driving Career

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Sources:

Materials World Handling – http://www.mhwmagazine.co.uk/LatestNews/Freight_forwarders_seek_more_advice_on_forthcoming_HGV_levy-15659.html