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A cautious welcome
Page 22
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The Freight Transport Association's latest Quarterly Transport Activity Survey (QTAS) reveals that domestic haulage growth is expected to reach a two-year high in the third quarter. One in four respondents said that activity levels had increased since April. But operators are still concerned about the impact of the WTD and the rising cost of fuel on future growth.
Sector and regional growth
The latest QTAS figures show strong levels of growth across all sectors, particularly for operators working in the wholesale/retail sectors.
The first few months of 2004 were tough for retailers as consumer spending slowed amid concerns about rising interest rates. However, business picked up in May with warmer weather boosting sales. Construction industry growth was fuelled by higher private housing activity and government investment. With rising interest rates likely to dampen private housing activity the construction industry will look towards the public sector as the principal source of growth over the next quarter. The recycling/waste industry was the only sector which saw a fall in activity levels during Qa the first time since the late 1990s that operators in this sector have not reported growth. The most widespread growth in domestic height during 03 was in Scotland and the North of England. This is expected to be sustained in the next quarter. Growth in the Midlands is expected to be at its lowest level since April 2003.
Skill shortages
Latest QTAS figures reveal that companies are finding it easier to recruit staff in all areas now compared to last April.
The hardest staff members to recruit are fitters converse' warehouse staff the easiest to find. However, two-thirds of respondents believe that they will need to increase staff when the Working Time Directive comes into force next year, while one in five will need to increase the number of trucks they run. About 10% of companies have agreed new pay deals with drivers as a result of the directive, with a further 23% intending to do so before next April.