UK Haulage Situation - Certificate of Professional Competence

2nd-Oct

Background

On the 1st September 2014 EC Directive 2003/59/EC1 came into full force, requiring drivers of Large Goods Vehicles (LGVs) and Passenger Carrying Vehicles (PCVs) to hold a Certificate of Professional Competence (CPC).

New and experienced drivers alike are required to hold this certificate, which for experienced drivers involves 35 hours of periodic training (rumoured to cost up to £3000) every 5 years. Drivers can be fined up to £1000 for driving professionally without a Driver CPC.

Current Situation
It has become evident over the last month that while many hauliers were prepared for the deadline and have ensured drivers obtained their CPC prior to 1st September, the change has resulted in a shortage of qualified drivers in the UK.

The extra expense involved in obtaining a CPC has meant many 'agency drivers' have left the profession and some older drivers that were close to or beyond retirement age have simply opted to retire rather than go through the training.

The UK legislation implementing
EC Directive 2003/59/EC1
EC Directive 2003/59/EC1, coupled with a peak period for import movements in the UK has meant that container hauliers are fully booked up to two weeks ahead. Accordingly, we request that customers send us their documents as soon as possible so we can plan our haulage requirements with our suppliers.

Cost Implications
The UK container haulage market is renowned for low margins and under investment and is subject to supply and demand economics, so it is no surprise to us that shipping lines have started to issue notices regarding their intention to increase container haulage prices.

One such notice from China Shipping advises that from 13th October 2014 all deliveries ex DP World Southampton will incur an increase of GBP 70.00 per container plus current fuel surcharge.

MSC have also issued a notice for certain trade lanes indicating their intention to increase haulage rates.

Whilst we will endeavour to maintain rates agreed with our own haulage contractors, the shipping lines dominate capacity in the container haulage market and where they lead others may follow...

Please contact this office should you have any questions or concerns regarding any of the above.

Keeping you informed at all times,
Grange Shipping


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