Dear Member,

Following the Chancellor’s Budget announcement, CILT(UK) has been assessing the implications for the transport, logistics and supply chain sector. Alongside wider fiscal measures, the Budget included confirmation of a proposed 3p-per-mile road tax for electric vehicles (EVs) - a significant step in reshaping how the UK funds its transport network.

In response, CILT(UK) has issued a press release outlining our position and calling for the Government to go further. While the Budget recognises that the UK must modernise the way it pays for its transport system, we believe that isolated announcements are not enough. What the sector urgently needs is a coherent, long-term transport funding strategy.

Our message to Government is clear:

• Falling fuel-duty revenues - currently generating £28bn per year, some of which supports road maintenance - mean the UK must develop a stable, future-proof funding model that works across all modes.
• EV per-mile charging must sit within an integrated, technology-neutral system that addresses roads, rail, freight, rural mobility and decarbonisation ambitions.
• Freight and logistics operators, still heavily reliant on diesel, require predictability and clear investment signals to support fleet replacement and infrastructure planning.
• Rural communities must be protected from disproportionate impacts, given higher travel distances and limited modal choice.
• Above all, the UK needs to move beyond short-term fixes and start an honest national conversation about long-term transport funding.

This Budget marks only the beginning of that conversation. As the Chartered body representing professionals across the transport and logistics sector, CILT(UK) intends to ensure the voice of our members is heard throughout the process.

We are making it clear to Government that CILT(UK) must be at the table, contributing evidence, insight and expertise to shape a strategy that strengthens our transport system, supports economic growth and accelerates progress towards net zero.

We will continue to update you as further details emerge and as we press for a funding framework that reflects the real needs of the sector and the communities it serves.

Kind regards,
Anna-jane Hunter
Chair, CILT(UK)