Gap widens in Euro-road tax
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• The gulf in road taxes between UK hauliers and their European partners is widening further as a result of the vignette road tax schemes, according to the latest Society of Motor Manufacturers and Traders report.
The average vehicle excise duty paid by British hauliers is now twice as high in Germany and ten times more than in Greece and Portugal.
Vignettes, operating on the Continent since the beginning of this year, have worsened the position for the British, says the SMMT. Hauliers operating vehicles of over 12 tonnes gross weight and on four or more axles are forced to pay extra to use the roads in Germany, Holland, Belgium, Denmark and Luxembourg.
Vignettes can cost operators up to £1,000 a year in extra charges.
To compensate for the vignette system, most of the participating countries have reduced domestic vehicle excise duties by up to 50% on heavy trucks. UK hauliers, already burdened with the highest annual vehicle excise duties in Europe, are not able to get any reduction on UK vehicle excise duties, even if their vehicles are operating outside of the UK for most of the year.
This has meant that in addition to paying high domestic taxes, they are being forced to pay for using the road network on the continent.