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'Vital' transport spending survives Budget cut

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'Vital' transport spending survives Budget cut

Friday, 11/12/2009 01:45
The government's decision to maintain investment in transport planning and infrastructure projects has been welcomed by the Freight Transport Association (FTA).

Chancellor Alistair Darling's pre-Budget report brought little joy for the logistics sector, but the group said it was "relieved" to see transport spending left untouched.

While Mr Darling showed no intention of cancelling the increase in fuel duty planned for April 2010, the commitment to maintaining infrastructure investment will be welcomed by hauliers.

James Hookham, FTA's managing director of policy and communications, said: "It is comforting to see that the government has heeded industry's warnings about protecting key infrastructure projects.

"This will not only enable job creation but help to make our transport networks greener, safer and more efficient too."

Mr Hookham added that a successful economy is "inextricably linked" to an efficient transport network, meaning investment must continue despite the tough financial climate.

The chancellor's pre-Budget report was less well received by the Road Haulage Association, which said the continuation of the "stunning series" of fuel duty hikes seen over the past 16 months would pile more pressure on the logistics industry.

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