Trade association Logistics UK has backed the Government’s latest support measure for the freight industry, but urged that progress must be actioned faster if deadlines are to be met.

The UK Government announced £200 million in funding for the logistics industry as part of a drive to decarbonise freight vehicles and create new jobs.

More than £2 million is also set to be given to small and medium-sized businesses in a separate competition to boost innovation and green tech in freight.

Freight Week, which will be aimed at highlighting the essential role logistics plays in the UK economy, was also announced on 19th October by Government. It has been supported by Logistics UK, which represents logistics businesses essential to UK trading

Kate Jennings, director of Policy at Logistics UK, commented: “We welcome Government’s recognition of the how important freight is for creating new jobs, growing the economy and achieving net zero.

“It is encouraging to see Government making long-awaited progress on its promises to help decarbonise our sector, including announcing the outcome of the Zero Emission HGV and Infrastructure competition (ZERFD). However ultimately, we need this progress to be faster, and support actioned promptly if we are to meet impending decarbonisation deadlines. 

“We very much welcome the Call for Evidence to inform and support the development of the zero emission HGV and coach infrastructure strategy which is due to be published in 2024.

“We have continued to strongly advocate to Government that this infrastructure strategy receives adequate input from industry to make sure, when it is eventually rolled out, it is in the right places to serve the sector in the most efficient manner possible.  

“Similarly, Logistics UK has been calling for a review into the Mode Shift Revenue Support (MSRS) scheme which currently disproportionately benefits the rail sector; 2022 research indicated that 95% of the funding from this scheme had been allocated to rail freight. While rail provides strong opportunities for modal shift and must be supported, action must be taken to prevent disadvantaging water freight, which also brings many social and economic benefits. We therefore look forward to inputting into this review.”