Even for smaller haulage businesses, finding the tens of thousands of pounds needed to pay up-front for road taxes can be a significant burden on cashflow. In response to recent demand, we are pleased to launch a funding solution to help truck and van drivers better navigate the rising costs of road taxes on HGV fleets.
The combined outlay of these annual taxes can add up to £1,850 per year for a single vehicle in the largest class of Heavy Goods Vehicles. Major hauliers and other businesses operating large fleets of vehicles may be paying in excess of £3 million per year in road taxes alone.
This new finance package allows businesses to spread the cost of both Vehicle Excise Duty and the newly-introduced Road User Levy across a 12-month term, freeing up cash for them to invest in growth. Recent research also found that the UK has some of the highest costs of fuel in the world, with the 59% rate of tax on diesel the highest of any developed economy.
Peter Alderson, Managing Director of LDF, says: “Road haulage is an industry where cashflow is under constant pressure, due to a combination of high fuel prices, taxes and overseas competition, and this new funding is our response to the needs of our clients in the industry.”
“The cost of fuel in particular is an enormous burden on businesses that rely on fleets of vehicles, mostly due to the rates of tax charged, and our clients have told us that the additional up-front costs of road taxes can be a real pinch point in their cash flow.”
For more information or to apply for a facility speak to a consultant today.