Call for industries to give evidence to consultation on financial resource requirement for transport licences

11/06/2018

The Traffic Commissioners for Great Britain are today (11 June) launching a consultation to enquire into whether the financial resources test for restricted operator licence holders needs to be changed.

All operator licence holders must demonstrate a certain level of financial resources, based on the type of licence they hold and the number of vehicles they are operating.

The level of financial resources available is checked when operators first apply for a licence but it is a continuing requirement and can be checked at any stage during the life of the licence.

The test is designed to show they’ve enough money to cover the cost of keeping large, commercial vehicles safe whilst they’re being used on public roads.

For restricted operators (those who just carry their own goods), the financial levels are set by the Traffic Commissioners for Great Britain.

The current rates – £3100 for the first vehicle and £1700 for each additional vehicle – have not been reviewed since 2004.

The rates for standard licence holders (those who carry other people’s goods) are higher and set by European legislation.

Richard Turfitt, the Senior Traffic Commissioner for Great Britain, said:

“Although we’ve taken a conscious decision not place any additional burdens on restricted operators, especially following the period of economic downturn in 2008, the cost of maintaining vehicles properly has increased since we last reviewed the rates for restricted operators.“

“It’s right to review the financial security test now and get the thoughts of industry and stakeholders on where the levels should be set.”

“Restricted operators work across a diverse range of sectors so I encourage them all to engage with this consultation; we need to understand the impact of any changes.”

The consultation is open until 31 August 2018.

The consultation page on GOV.UK is available here: https://www.gov.uk/government/consultations/restricted-licence-holders-level-of-financial-resources