September 4, 2008

The Cost of Penalty Charge Notices (PCNs) for commercial operators has now topped a staggering £500 million per year, and although they have become a legitimate business expense (or as near to one as to count as one), companies cannot claim any tax relief on them. 

As this new milestone has been reached, the Freight Transport Association (FTA), have challenged traffic authorities to stop hiding behind a lack of clear data, as an excuse for not sorting out the desperate shortage of loading, and unloading provision in central London.  They are asking for a clear list of ‘Critical Delivery Zones’ where traffic authorities need to focus their attention and resources in order to prevent them being perpetually viewed as a sitting target for revenue generation.

Four zones have been identified; they have been termed ORB (around Oxford Street, Regent Street and Bond Street), Soho/Covent Garden, Holborn, and Tottenham Court Road.  In each of these zones there is a demonstrable need to improve access for commercial operators.  Some areas need new loading bays, others just need sensible enforcement of current loading limits or a better understanding of the rules by drivers and civil enforcement officers alike.

The study has been part-funded by the TfL Freight Unit.  In addition the FTA is not asking traffic authorities to work alone.  It seeks  to bring together the various business groups that are already working in these areas – many of which can relieve the problems by adopting more flexible delivery arrangements.  FTA has also invested heavily in products to support operators and their drivers in avoiding and managing PCNs and to improve levels of compliance.

FTA’s Head of Policy for London, Gordon Telling said, ‘Getting a proper plan, including a map based on data from 29 major companies about their PCNs, is a great leap forward.  For the first time we can press traffic authorities to invest in the areas that matter most.

‘We are in touch with politicians at Westminster, Camden and TfL, urging them to seize this opportunity to support local businesses on their patch by reducing unnecessary PCN costs.  We have already met with Westminster, who are keen to use the information in order to drive down costs for everyone and improve compliance.  We hope to have the same conversation with the Leader of Camden and with Mayor Johnson soon.  We expect those authorities to have clear plans in place before the end of the year.

‘FTA has also revamped and updated its range of support products aimed at drivers and managers to help them stay within the law.  New guidance is due shortly from the TfL Freight Unit to help traffic authorities better plan the provision of kerbside loading facilities.

‘FTA believes that sorting out access in these areas can help remove many of the PCNs that are unfairly issued to its members where there is no adequate loading available.  As many of the PCNs issued here are successfully challenged, it will also help traffic authorities reduce their own costs.  The benefit to the local economy of reduced PCNs could be as much as £10 million – a much welcome shot in the arm in the current climate.’

With Freight operators also suffering the pain of higher fuel costs, some relief from draconian parking laws will surely be welcomed by all.

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