23 Jul 2024
Companies operating in the European road freight sector continually contend with a never- ending series of evolving challenges, with international haulage companies in the UK facing more difficulties than ever in this post-Brexit world.
The additional customs compliance and documentation, along with changes to taxes and duties
caused by Brexit have made road freight logistics somehow even more complex than they were
before. And that’s before we mention the increased border checks and administrative burdens
that also affect supply chain efficiency.
Ultimately, what it all means is that operations managers need to have their finger on the pulse
so they can be proactive in adapting to the changing demands of haulage. In this article we’re
going to take a look at some of the most important challenges facing international haulage
companies in the UK, and the trends that are shaping the future of European road freight.
Rising Road Freight Prices
One worrying trend for operations managers is the rising European road freight prices for
companies importing and exporting from the UK. The prices have actually reached their highest
levels in three years thanks to some lovely inflation and a delightful assortment of Brexit-
related challenges. The increased costs involved with road freight logistics are having a big
impact on haulage and courier service costs for international haulage companies in the UK.
New Truck Tolls in Europe
Changes in truck toll systems are a growing trend across European road freight and are only
going to increase throughout 2024. Such changes include a free-flow tolling system in France,
with drivers either paying automatically by subscription, or via post with an additional fine.
There is also a new CO2-based toll in Austria, with several other countries also pushing towards
environmentally driven toll policies.
Driver Shortages
One of the biggest challenges facing European road freight and international haulage
companies in the UK is the severe truck driver shortage. The shortage is already causing
problems with road freight logistics and has been projected to at least triple by 2026 as older
drivers retire out of a sector that has worryingly low entry rates of young applicants as well as
female drivers.
Sustainability Initiatives
As with most sectors, there is a strong industry focus on sustainability, with companies
partnering with environmental platforms to reduce their carbon footprint and support climate
goals. Expect to see more innovations such as Hydrogen Vehicle Systems, which is the UK’s first
Hydrogen Fuel Cell truck OEM which is currently on trial.
HGV Road User Levy in the UK
The UK’s reintroduction of the HGV Road User Levy, applied to trucks with over 12 tonnes of
permissible weight, marks an effort to modernise road toll systems post-Brexit. A similar toll
had been suspended for the last three years but has been back in effect since August last year.
The reinstated HGV Road User Levy is applicable on any trucks weighing 12 tonnes or more
using any public road. Exactly how much is due from each driver will be determined by the
vehicle type, total weight, and the length of stay in the UK.
Our expertise in cutting-edge logistics solutions ensures your cargo reaches its destination
efficiently and securely. Contact the team at K Charles Haulage today to learn more about our
services and how we can support your business in 2024 and beyond!
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