Motor Transport 20 November 2023

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Sharp ■ Informed ■ Challenging

20.11.23

Multiple factors lead to drop in profit but outlook remains positive Annual Conference 2023 2 November 2023, ICC Birmingham

CONFERENCE REVIEW

Wincanton sees profit fall in first half of year By Carol Millett

FORS Conference Review

Free inside See pages 22-40

NEWS INSIDE Cashing out

DX agrees to takeover offer p3

Damages demand

Whistl challenges Royal Mail p6

Driving for growth

FreshLinc delivers on profit p8

OPERATORS INSIDE

Photo: DPD / Mark Williamson

Bretts Transport �������������������������������������������� p6 DS Smith Logistics ���������������������������������������� p4 EV Cargo ������������������������������������������������������� p4 Hinks Haulage ����������������������������������������������� p6 Malcolm Group ���������������������������������������������� p3 Walkers Transport ���������������������������������������� p8

Wincanton saw profit plummet by almost a fifth and revenue fall by 8% in the first six months of this financial year, which the haulier attributed to the group’s strategy to shift out of closed book transport contracts, inflationary pressure, rising interest rates and lower consumer confidence. According to its unaudited halfyear results to 30 September 2023, the group delivered revenue of £694.7m, compared to £753.6m in the same period in 2022. Excluding closed book transport contracts, revenue fell by 3.7% in the half year, whilst pre-tax profit lurched downwards by 19.3% to £22.6m (H1 2022: £28m). In better news, the group announced a milestone agreement reached with the Defined Benefit Pension Scheme Trustees for the March 2023 triennial valuation. The last contribution to the scheme was made in July 2023, which the company said unlocks “significant” free cash flow. The company has also launched a £10m share buyback programme, under a new capital allocation framework. Highlights listed by the group for the period include Wincanton’s

continued automation drive, which has seen the launch of a robotic cross dock solution for a leading UK retailer and a re­organisation of transport. Wincanton also pointed to “significant” growth in open book managed transport services, including the launch of its Sainsbury’s contract alongside previous wins with retailers New Look and Primark. James Wroath, Wincanton chief executive, said: “We have delivered a resilient performance during the first half of the year. “We continue to invest in supply chain automation, transport optimisation and operational excellence. As reflected in our new capital allocation framework and the confidence of the board, we are maintaining our dividend year

on year and returning value to our shareholders through a share buyback programme.” Looking ahead, the company said it expects retail volume pressure to persist in the near-term. It added: “Despite this, the group’s diversified sectors, commercial discipline and customer relationships ensure that Wincanton is well positioned to deliver on its strategic ambitions. “Strong cash generation and the result of the 2023 pension triennial valuation will help accelerate the group’s investment in sustainable and margin accretive growth and enhance shareholder returns. The Board remains confident in the Group’s strategy and expects to deliver revenue and profit in line with market expectations for FY24.”

GREEN DELIVERIES: DPD said its new sortation centre in Bromley-by-Bow, east London will enable it to deliver 80,000 ‘green’ parcels into London every day. The £40m eco-regional depot was officially opened by transport secretary Mark Harper MP (pictured with Elaine Kerr, DPD UK chief executive), who praised the investment for helping to drive the UK’s green economic growth. DPD said the facility will create 650 new jobs when fully operational in the new year. It will also enable DPD’s delivery service within the North and South Circular area to be all electric. Boosting its green credentials further, the 430m-long conveyor system will sort all intra-London parcels for next-day delivery on-site, instead of being trunked to the Midlands and back for sorting. The site includes solar panels on the parking canopy to charge 500 electric vehicles, while a 40,000 litre hydrotreated vegetable oil (HVO) tank will enable DPD’s HGVs and 7.5-tonne trucks to fill up with renewable biofuel. Solar panels will be added to the main roof in the new year, which the parcel firm said could generate up to one million kWh to help power the entire building.

News extra: Vaculug p10 Focus: apprenticeships p12 Viewpoint p14 Prometeon p16 FORS review p22 Top 100 p41 MT Awards p48



News

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Transit Bidco acquires parcel freight firm, which offers strong performance and potential for growth

DX Group in £315m cash buyout By Chris Tindall

DX Group said it had agreed to a £315m cash takeover offer from a subsidiary of equity giant HIG Capital. The deal means DX shareholders will be entitled to 48.5p per share, consisting of 47.5p in cash and a final dividend of 1p for the year ended 1 July 2023. The acquisition by Transit Bidco values DX’s entire issued and to-beissued share capital at approximately £314.8m. Bidco said there was “a compel-

ling strategic and financial rationale” for buying DX, pointing out that it operated in “attractive niche markets with supportive secular market trends”. It also acknowledged the parcel freight firm’s strong performance and progress in recent years. Mark Hammond, chair of DX, said: “Since the introduction of its turnaround plan in 2018, DX has demonstrated a strong track record in sales growth, profitability, and margin improvement. “This progress has been most

recently evidenced in our latest full-year results, which recorded the highest revenue in our 48-year history. “Furthermore, in addition to our strong financial and operational performance, in the last eighteen months the board has successfully settled its claim in relation to Tuffnells, resolved its internal corporate governance inquiry, achieved the re-admittance of its shares to trading, and deepened the bench of executive and non-executive talent.

“Viewed in conjunction with its turnaround and financial momentum, DX is a company reinvigorated and ready for the next phase of growth.”

Malcolm Group reports surge in profit and turnover Tevva takes legal Revenues at The Malcolm Group have increased by more than 11% to £257m as the logistics company

continued to ride the wave of economic recovery post-Covid, new results showed. Its financial results for the year ending 31 January 2023 also showed pre-tax profit soared 45% to £15.4m, from £10.6m the previous year. In a review of its business, the group said turnover in its logistics division increased substantially as the UK economy bounced back, but activity levels also increased in construction services and waste management. “During the year, activity levels in our logistics division remained very strong and, coupled with new

business wins, resulted in a significant growth in turnover,” The Malcolm Group said. “However, increases in energy costs and supply chain inflation had an inflationary impact on our cost base, resulting in some margin pressure in the division. “Nevertheless, the division recorded an improvement in operating performance.” The group added that activity levels in logistics during the first half of 2023 had fallen slightly, although tight control over its costs meant operating performance was in line with the same period in the previous year.

Longer semi-trailer trial extended in bid to reduce red tape The government’s longer semi-trailer (LST) trial has been extended by three months while discussions to reduce burdensome regulations continue, according to the RHA. The trial was due to end on 30 November but it will now finish on 29 February 2024 instead. Declan Pang, RHA director of policy and public affairs for England, said: “We’ve been campaigning for some time for the DfT to reduce the bureaucracy on hauliers using longer

3 MotorTransport

semi-trailers to encourage uptake. “We welcome this extra time to work with our members and government on solutions, and for changes to the guidance to reduce onerous administration.” In May, new regulations on the use of LSTs were introduced following the DfT’s decision to allow the trailers, which are up to 2.05 metres longer than the current standard semi-trailers, to be widely used.

action against ElectraMeccanica Tevva Motors said it was filing a lawsuit in the US against ElectraMeccanica Vehicles (EMV), after the American company terminated its agreement with the electric vehicle maker for alleged “multiple incurable breaches”. Tevva said the lawsuit, being filed in the court in Arizona and also including EMV chief executive Susan Docherty, sought redress for the “improper and unmerited purported termination” of its arrangement with the US firm. In a statement, Tevva said its lawsuit exposed “how EMV offered spurious, defamatory allegations in a thinly veiled attempt to justify its abrupt termination of a binding merger agreement with Tevva – a merger agreement that was the product of thousands of hours of time spent by both parties evaluating and structuring a mutually beneficial business combination”. The statement continued: “The lawsuit appropriately seeks extensive remedies, such as $75m in damages, an injunction blocking EMV from entering into an alternative merger agreement, and a protective order preventing EMV from dissipating its cash (which will be needed to pay Tevva’s damages) through dividends, executive compensation, and similar wasteful actions.” EMV claimed Tevva had failed to disclose “material information”, but did not go into details. 20.11.23


News

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Logistics group’s use of technology to boost efficiency pays off as it lands trio of new contracts

By Carol Millett

EV Cargo has landed UK contracts with three new customers across road freight, warehousing and contract logistics after a strategic review of resource allocation across its UK fleet, which saw it harness integrated technology to increase the efficiency and agility of its services. Working for AllPond Solutions, EV Cargo will handle the importation and receipt of freight from global manufacturing locations,

store goods at its flagship contract logistics hub at Ashby and handle the final distribution, ensuring a full end-to-end solution managed by EV Cargo people and systems. Full and part-load B2B order distribution to retailers will be undertaken, with smaller consignments handled by EV Cargo’s pallet network Palletforce, and e-commerce fulfilment in conjunction with Amazon Prime. EV Cargo has also won a contract to provide warehousing,

e-commerce fulfilment and road distribution to Versuni, home to a range of well-known domestic appliance brands. The group has also secured a warehousing and distribution deal with drinks giant Pernod. n EV Cargo saw its Scope 1 and Scope 2 greenhouse gas emissions plummet by 29% in 2022, confirming its 2030 pledge to attain carbon neutrality for Scope 1 and 2 emissions and reduce Scope 3 emissions by 25%, by 2030.

Photo: Craig Eccleston

EV Cargo celebrates triple deal

Clark Transport marks milestone Life in jail for with pallet-sorting investment FedEx driver who

CLEANING UP: Scotland’s largest commercial laundry and textile rental company, Fishers Laundry Services, has extended its relationship with Fraikin with the delivery of 25 new trucks – adding a single 7.5-tonne and 24 15-tonne rigids – as part of an ongoing fleet refreshment programme. Fishers’ commercial vehicle fleet operates seven days a week, transporting laundry to and from the company’s five sites to hospitality, industry, healthcare and cleanroom businesses. The company works across Scotland and the north of England processing up to two million items per week with its cleanroom business servicing the whole of the UK.

A family-run haulier in Cheshire is marking 70 years in the logistics industry with a significant investment in new equipment. Clark Transport, based in Widnes, has installed an automated pallet sorting line to improve efficiency, reduce the need for manual sorting and ensure more consistent quality. Supplied by Pallet Sorting Systems, the new line will sort up to 400 reusable wooden pallets per hour on behalf of pallet pooler IPP,

which is part of the Faber Group and provides reusable pallet and box pooling services across Europe for fast-moving consumer goods and industrial supply chains. The new sorting line is designed to make it quicker and easier for operators to identify pallets that require repairing before they can be reused. Pictured are Clark Transport operations director Phil Clark (left) and transport manager Keith Clark.

murdered boss

A FedEx courier driver who stabbed his manager to death after being suspended from work has been jailed for life, with a minimum term of 27 years. Ronald Sekanjako, 49, of Bellhouse Road, Sheffield, murdered deputy station manager Philip Woodcock, 60, at a FedEx depot in Hellaby, Rotherham, on 2 November 2022. Sheffield Crown Court heard that Sekanjako had been called to a meeting with one of the warehouse managers, following concerns he had been filling up his work van at a local petrol station without having the means to pay. Sekanjako objected to the claims and became irate, at which point Woodcock came to help. The jury was told that as Woodcock took Sekanjako into his office, Sekanjako stabbed him in the chest with a concealed knife. Officers later found a second knife and a hammer.

DS Smith puts plans in place to handle strike disruption Packaging transport firm DS Smith Logistics said it had contingency plans in place to deal with any disruption caused by its HGV drivers striking in the run-up to Christmas. The Unite union said the drivers, based in Launceston, Sittingbourne, Avonmouth and Tuxford in Nottinghamshire, had rejected a 5% pay offer from their employer and described it as a real-terms pay cut. 4 MotorTransport

It said the industrial action, which is due to begin today (20 November) for an initial seven days, would compromise the ability of DS Smith’s clients – which include Amazon, Direct Wines, Cadbury, Haribo, Tesco, Morrisons and Lidl – to package items for mail order delivery during the festive season. A spokeswoman for DS Smith said it was disappointed that “a small group of employees

voted for industrial action, especially given the discussions we have been having”. n Pubs and clubs across the North West could see supplies of Greene King beer run dry as GXO lorry drivers and warehouse staff contracted to the brewery prepare to take rolling strike action in protest at a below-inflation pay offer, which they say imposes a real-terms pay cut. 20.11.23



News

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Bretts Transport bounces back after Brexit and lockdown challenges Bretts Transport said it had taken steps to address “pent-up demand” for haulage services following the pandemic, brought about by an acute shortage of drivers. The Cambridgeshire firm said it had boosted pay and conditions and modernised its fleet to attract and retain staff during current economic uncertainty. The haulier told MT that it had responded to the driver crisis by investing heavily in its drivers and equipment and this had both

attracted and retained staff after an exodus post-Brexit. For the six months ending 31 March 2021, the company, which mainly delivers staple food products, generated revenues of £6m, which was down by 53.3% compared to the 12-month period ending 30 September 2020, but a decrease of only 6.69% on a pro-rata, annualised basis. It made a pre-tax loss of £446,000 in the period, but it has since returned to profitability.

Whistl says rival engaged in ‘anti-competitive behaviour’ and prepares giant damages claim

Royal Mail faces £600m battle By Carol Millett

Whistl UK is preparing to take Royal Mail to court next year to seek more than £600m in damages for Royal Mail’s anti-competitive behaviour, unless the two can reach a “realistic” out-of-court settlement, which Whistl has indicated it is willing to consider. The legal action follows an

Ofcom investigation, triggered by a complaint by Whistl in 2014, which found Royal Mail had breached competition law when Whistl – then known as TNT Post – attempted to become its first end-to-end competitor in wholesale mail delivery. As a result, Ofcom imposed a record £50m fine on Royal Mail.

The monopoly made three failed attempts to challenge the outcome, including in the Supreme Court, before paying the fine. Following the Ofcom ruling, Whistl filed a damages claim for “the significant financial impact” on its business as a direct result of Royal Mail’s actions. However, this was put on hold until 2022

JMW recruits for transport team JMW Solicitors has launched a specialist commercial road transport team with the recruitment of two partners, Laura Hadzik and Scott Bell, who will jointly lead the new team. Hadzik and Bell (pictured) bring more than 30 years’ combined experience advising commercial vehicle operators of all sizes across the haulage, coach and bus sectors on the licensing and regulation of commercial vehicles. Hadzick’s appointment sees her return to JMW, where she was a senior associate with the firm some years ago.

Pall-Ex gets into Beds with Strata

Hinks Haulage signs with Hazchem Hinks Haulage in Oldbury has joined The Hazchem Network, the second new member this year. Running a fleet of 23 HGVs, all equipped to carry dangerous goods, the haulier has the capacity to handle all load sizes and types. A family-run business started by boss Brian Hinks (pictured) in 1999, this is the first time the ADR operator has joined a pallet network. “Joining Hazchem gives us the ability to offer customers the full solution now – one parcel or pallet all the way up to full loads,” Hinks said. “We can be a one-stop shop, this is what a lot of companies want. This will open up opportunities for us that we couldn’t look at before.”

6 MotorTransport

while Royal Mail appealed. Whistl said it was “willing to engage constructively with Royal Mail for an out-of-court settlement” but added that it appeared “increasingly likely” the dispute will end up in court. Royal Mail said the group “believes Whistl’s claim is without merit and will defend it robustly”.

Pall-Ex has strengthened its network with the recruitment of Bedfordshire-based Strata Logistics. Established in 2014, Strata Logistics provides pallet network services, heavy haulage, pallet storage and commercial vehicle hire. The Fors Silver operator handles around 100 to 150 loads a day, using its own fleet of over 50 HGV and LCV vehicles as well a team of full-time contractors. Based in Broom, Strata will cover the MK40-46 postcodes for the pallet network. A spokesperson for Strata said: “It is vital for us that we can continue providing the personal service that we are known for, so knowing that Pall-Ex and its members share our ethos was a great driving factor in the decision to join. “We are excited to explore how the round-the-clock Pall-Ex service will elevate us on a local and national level.” 20.11.23



News

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Walkers Transport upgrades fleet with eight DAF XF 480 tractors Walkers Transport has taken delivery of eight new mirrorless DAF XF 480 tractor units from Asset Alliance Group, as part of a fleet upgrade. The new trucks, featuring the manufacturer’s Digital Vision System, which replaces the wing mirrors, are supplied on three-year contract hire deals. They join a fleet of 120 trucks and 220 trailers at Walkers Transport’s

Temperature-controlled specialist pledges to continue investment

Bumper result drives FreshLinc ambitions By Carol Millett

Chilled logistics and storage specialist FreshLinc delivered a fourfold boost in pre-tax profit last year as it continued its drive for growth. The company, which has its headquarters in Spalding, specialises in the supply chain management of temperature-controlled fresh, chilled and horticultural products, with clients ranging from retailers and food manufacturers to growers and importers. It has operating licences for 521

trucks and 885 trailers and offers 500,000sq ft of warehousing for chilled, ambient and frozen goods. Its latest annual results, for the year to 28 January 2023, revealed a surge in both turnover and pretax profit, with the former rising 13.6% to £144.9m (2022: £127.6m) and the latter leaping to £5.6m (2022: £1.3m). The company said in order to reach the next stage of growth “it is likely that we will need to enhance our asset base and form

strategic partnerships with other companies and groups in the sectors within which we operate”. FreshLinc said it had made some “significant investment” in its warehousing and IT infrastructures over the period, adding: “Investment will continue over the coming years to ensure we continue to offer state of the art facilities and IT systems as the company continues to grow in both scale and diversity of goods handled.”

Manchester depot, from where they will distribute goods through The Pallet Network and carry out general haulage work nationwide. Walkers Group praised Asset Alliance Group for providing it with used trucks to temporarily replace the haulage firm’s DAF CF fleet, at no additional cost, following the end of its lease contract with another company, whilst it waited for the new vehicles to arrive.

UPN ‘optimistic’ after solid year United Pallet Network (UPN) reported revenues of £14.1m in the year ending March 2023, a 3.3% increase on the previous year. Profits also grew – pre-tax profit was up 4.1% to £5m, compared to £4.8m in 2022. Operating profit was £5m, a 4% increase on the previous year. The network said it had made significant progress during the trading period on the key elements of its strategy; gross profit percentage increased to 75.3% from 74.4%, net profit increased 0.3% to 35.4% and its liquidity ratio during the year was 2.07, compared to 1.81 In a review of its business UPN said the company’s position was satisfactory and it was optimistic for the future.

XPO steps up driver training plan Knights of Old Kettering base on sale with £8.25m price tag XPO Logistics is looking for applicants for its new Driver Excellence Academy, as well as launching a targeted recruitment campaign to increase the number of female drivers trained through the academy.

8 MotorTransport

The company is also looking for candidates from all backgrounds, from both within and outside the business, who want to qualify as HGV drivers. The academy is already running at four XPO sites in Kirkby Thore in Cumbria, Leeds in West Yorkshire, Ilkeston in Derbyshire, a n d D o r d o n i n No r t h Warwickshire with 100% pass rates for some cohorts. XPO has created an academy toolkit so that any site can implement the programme, where there is demand. The logistics firm said the only criterion needed to apply for the academy is that the individual is aged 21 to drive an HGV – although this reduces to age 18 if someone is on an apprenticeship.

The former Kettering warehouses, offices and yards of Knights of Old, which went into administration in September, have gone up for sale for £8.25m. The property is located on the Kettering Venture Park, next to junction 9 of the A14. The site has been put up for sale – either as one lot or separately – by Birmingham-based Watling Real Estate Logistics. Knights of Old was part of KNP Logistics Group, which included Nelson Distribution, Steve Porter Transport, and Merlin Supply Chain Solutions. The group had more than 750 employees and a fleet of 350 trucks and 500 trailers, as well as 590,000sq ft of distribution space. The property includes two modern distribution warehouses, known as units 2300 and 2350, totalling about 118,33sq ft on an 8.11-acre site. 20.11.23



Vaculug Sustainability Forum

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Tyre innovations to cut fuel consumption, increase longevity and protect the planet were on the agenda at the Vaculug Sustainability Forum in London. Steve Hobson reports

Tyre composition is improving so fast that a truck tyre design may only have a five-year shelf life rather than the 10 years seen in the past, according to Guy Heywood, vice president of sales, marketing and business strategy at Hankook Tire Europe. Speaking at the Vaculug Sustainability Forum in London, Heywood said that these improvements meant that today’s tyres were able to offer both lower rolling resistance and longer life, something that would have been impossible with traditional tyre design and materials.

Power play

He opened his presentation with the controversial statement that the idea of hydrogen-powered trucks was “bunkum”, going on to cite estimates that, well-towheel, hydrogen was only 22% efficient, compared with 73% efficiency for battery electric. Heywood went on to say that electric vehicles were the “sexy stuff” that everyone wanted to talk about as the “panacea” to zero emissions transport. But he insisted the industry needed a “hybrid” solution that reduces CO2 emissions from the current fleet of internal combustion engine (ICE) trucks. Heywood listed a series of measures that operators could take now to cut fuel consumption, including better aerodynamics; using telematics to improve routeing, productivity and driver behaviour; and buying new, more fuel efficient vehicles. But naturally his focus was on tyres and how the new generation of Hankook products is reducing fuel consumption without compromising on tyre life. “Around 30% of a truck’s fuel consumption is just to overcome 10 MotorTransport

Rolling towards a green tomorrow the rolling resistance of the tyres,” Heywood said. “Our newest tyre has 10% to 15% lower rolling resistance and so can cut fuel consumption and CO2 emissions by 4.5%.” He said that the truck OEMs always fitted tyres rated A for rolling resistance to help minimise fuel consumption. “That is the cheapest way for them to cut CO2 and get closer to their Vecto targets,” he said. “They don’t care about the tyre mileage and previously the quickest way to reduce rolling resistance was to cut the tread depth. But our new ranges will cut rolling resistance and increase mileage.” Heywood also pointed out that failing to regroove a premium tyre was throwing away 25% of its life at a time when it was at its most fuel efficient as the tread depth was down to 5mm. And bearing in mind that the event host Vaculug makes retreads for Hankook among others, Heywood added that operators were throwing away another 40% of a €500 premium tyre’s life by not retreading its casing up to four times. “This is basic stuff but we are failing,” he said. “Only 5% of

operators regroove and only 20% retread their tyres.” Heywood compared today’s tyres with smart phones – and said a three-year-old tyre was now the equivalent of a Nokia 3310. “If you want an iPhone, you have to buy new tyres,” he urged. “Tyre designs used to last 10 years – now they have a five-year life.”

Research

Hankook has a large R&D centre in South Korea and uses artificial intelligence and super computers to create and test “digital tyres” in a fraction of the time it used to take to design, make and test actual tyres. “This is a game changer for the tyre industry,” he said. “3D tread design and 3D printing of tyre moulds in up to 24 sections mean we can now produce just about anything. This includes zigzag and interlocking tread patterns that stop the blocks moving, overheating and wearing out.” The other benefit of these advanced tread patterns is that they retain better levels of wet grip as they wear, whereas most conventional tyres that achieve a B rating for grip will see this performance decline significantly

as the tyre wears. “This can mean a difference in stopping distance of 5m on a wet road,” said Heywood.

Green ambitions

Hankook is also developing a parallel range of tyres designed for electric vehicles, starting with a new E Smart tyre for electric buses that will be launched soon. EVs will be heavier and produce more torque, putting more stress on the tyres. The materials going into new tyres are also changing, to both improve performance and reduce carbon emissions by cutting the amount of oil-based products used. While natural rubber is considered a renewable resource, its price varies enormously depending on the climate as that affects rubber production, so alternatives are being sought here too. “Hankook wants to be net zero by 2050,” said Heywood. “So a lot of work is being done on materials to replace oil. We need a bio source that will deliver the same performance. We can get 15% better rolling resistance and 15% better mileage from better materials.” n 20.11.23



News focus: apprenticeships

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Driving takeup of logistics apprenticeships – and boosting achievement rates – is a key priority

On 27 October we received confirmation that the Education Secretary had approved the revised Funding Band 8 (upper limit £5,000) for the supply chain warehouse operative apprenticeship. This represents a 66% increase in funding, as the previous maximum amount of £3,000 was allocated when the apprenticeship was originally approved in June 2016. During the last 12 months the Trailblazer Group for Transport and Logistics has worked to update the standard and end-point assessment for the apprenticeship to include digital and environmental aspects of the role and bring it more in line with modern warehousing operations. The apprenticeship remains a Level 2 qualification of 12 months’ duration. Since the Apprenticeship Levy was introduced in 2017 there have been 11,064 starts, the most for any apprenticeship in the whole of the transport and logistics sector. However, the number of starts per annum over the past couple of years has reduced, which was one

of the main reasons why the update was required. The major trade associations in our sector have all been involved in the development of the revised curriculum. It is believed that this increase in funding will result in the apprenticeship being far more attractive for both employers and apprentices to assist in solving the skills shortage in this expanding occupation.

Numbers game

Photo: Shutterstock

Working for tomorrow

There are a total of 38 apprenticeships in the transport and logistics sector accredited by the Institute for Apprenticeships and Technical Education, and the major area of concern remains the low achievement rate of starters. The overall drop-out rate is over 50% but for the six main roles the drop-out rate is more than 60%. Operators have previously expressed concerns that once LGV driver apprentices have passed their DVSA test they may not wish to complete the apprenticeship. The skills shortage in the sector has meant that once apprentices

TRANSPORT AND LOGISTICS APPRENTICESHIPS Total starts LGV driver Urban driver Express delivery operative Supply chain warehouse operative Supply chain operator Transport and warehouse operations supervisor Totals

10,538 850 2,362 10,821 452 273 25,296

Total achievements 2,632 20 362 3,127 166 2 6,309

Total starts less 2022/23 9218 420 1485 9214 416 115 20868

have learned basic skills they may be inclined to move to permanent roles on a higher rate of pay. Employers may also be more inclined to surrender the recovery of the remainder of their funding entitlement in favour of offering apprentices full-time positions, where they have vacancies, prior to the completion of the apprenticeship course.

Cost and benefits

The sector has now contributed over £1bn in Apprenticeship Levy, yet without official statistics we believe it has barely recovered £300m of this. The reduction in LGV driver apprenticeships in the past year is probably as a result of the HGV Bootcamps. Along with this the low apprenticeship achievement rate supports the belief that the Levy should be available for training and skills programmes shorter than the minimum 12-month apprenticeship. The Trailblazer Group for Transport and Logistics continues

to support the industry by campaigning for increased funding and updating and developing apprenticeships to make them more relevant for employers and more attractive to potential candidates. Earlier this year we gained an increase in the funding band from £7,000 to £8,000 for the LGV driver apprenticeship and are now undertaking a funding review for the urban driver apprenticeship. We are also updating the supply chain operator apprenticeship to be renamed traffic operator apprenticeship and enhancing the standard and end-point assessment. This work is all undertaken with the objective of supporting the industry in resolving its skills shortages through attracting new recruits and upskilling the existing workforce, through the professional training programmes included within the apprenticeships. n Jim French MBE, co-chair, Trailblazer Group, Transport and Logistics

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Viewpoint

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Stability is a welcome change T

he latest round of musical chairs in the government has, surprisingly perhaps, not seen a change at the top of the DfT. The transport department had become something of a ministerial revolving door, with 12 transport secretaries in the past 20 years. Steve Hobson The shortest-serving incumbent, Editor Anne-Marie Trevelyan MP, managed just Motor seven weeks as part of last year’s ill-fated Transport Liz Truss MP premiership. To be fair, this record-breaking short stint followed a period of stability, with each of the three previous secretaries of state lasting over three years. The current transport secretary, Mark Harper MP, has been in post for just a year since being appointed by the hapless PM Rishi Sunak MP. Harper is well known for opposing more environmental restrictions on car drivers and probably helped persuade the PM to delay the ban on sales of non-zero-

emission cars and vans from 2030 to 2035. This postponement was announced in the wake of the Uxbridge by-election, where the Conservatives’ surprise victory was put down to the unpopularity of Labour London mayor Sadiq Khan’s extension of the ULEZ. The zero emission vehicle (ZEV) mandate remains in place, however. This requires 80% of new cars and 70% of new vans sold in Great Britain to be zero emission by 2030, increasing to 100% by 2035. The dates for ending sales of non-zero-emission trucks – 2035 for those under 26 tonnes and 2040 for heavier vehicles – also remain in place and the Climate Change Committee wants to see the government introduce a ZEV mandate phasing in these bans, too. With Harper remaining in post this now looks less likely to happen, something truck makers and operators are sure to welcome.

Don’t get caught up in tax avoidance H Jonathan Smith Director HMRC’s Counter Avoidance directorate

M Revenue & Customs (HMRC) is urging hauliers and their workers not to get caught up in the supply chain of tax avoidance schemes, including non-compliant umbrella companies. Tax avoidance is when people bend the rules of the tax system to try to pay less tax than they should. The vast majority of these schemes simply do not work and those who join them end up having to pay the tax due in the first place, as well as interest and potentially penalties. That is on top of the fees they have already paid for joining the scheme, meaning those who get involved in tax avoidance can end up paying considerably more than the tax they originally tried to avoid. These tax avoidance schemes often involve an umbrella company that claims to give a worker some or all of their pay in the form of a loan, salary advance, grant, annuity or any other payment they’re told they’re not expected to pay back. These payments are put forward as non-taxable, often without explanation, with the promise of higher take-home pay. Most of these schemes are successfully challenged by HMRC in the courts and at tribunals. If you use a worker employed by an umbrella company involved in an avoidance scheme, you put yourself at risk of tax compliance checks, tax liabilities, interest on the tax you should have paid, penalties, reputational damage and loss of business. You should ensure you are undertaking robust supply chain due diligence to help protect your business from using non-compliant umbrella companies and

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becoming involved in the supply chain of a tax avoidance scheme. HMRC wants to stop people being drawn into such arrangements and help those already involved to leave them. One of the best ways to do this is for you to inform your temporary workers about the risks of tax avoidance schemes operated by non-compliant umbrella companies and the warning signs. These include any scheme that allows them to keep more of their income than expected, receiving payments described as “non-taxable” or being asked to sign more than one contract or agreement. Remember, if it sounds too good to be true, it almost certainly is. You can ask your temporary workers to check out HMRC’s list of named tax avoidance scheme promoters. If you or your workers are approached by a named umbrella company, steer well clear. The list is not exhaustive and we’re adding to it all the time, so if an umbrella company is not shown, this does not mean that they are not operating a tax avoidance scheme. You should also share HMRC’s ‘Tax Avoidance – Don’t Get Caught Out’ campaign with your temporary workers, which educates them how to spot the signs of an avoidance scheme, report avoidance or get help leaving or reporting a tax avoidance scheme.

The newspaper for transport operators

To contact us: Tel: 020 8912 +4 digits or email: name.surname@roadtransport.com Editor Steve Hobson 2161 Head of content Tim Wallace 2158 Events and projects editor Hayley Tayler 2165 Group production manager Isabel Burton Senior display sales executive Barnaby Goodman-Smith 2128 Event sales Tim George 0755 7677758 Classified and recruitment advertising rtmclassified@roadtransport.com Sales director Emma Rowland 07780 604075 Divisional director Vic Bunby 2121 MT Awards Katy Moyle 2152 Managing director Andy Salter 2171 Editorial office Road Transport Media, First Floor, Chancery House, St Nicholas Way, Sutton, Surrey SM1 1JB 020 8912 2170 Free copies MT is available free to specified licensed operators under the publisher’s terms of control. For details, email mtsccqueries@roadtransport.com, or call 01772 426705 Subscriptions RoadTransport@abacusemedia.zendesk.com 020 8955 7034 Motor Transport Subscriptions, Abacus, 107-111 Fleet Street, London EC4A 2AB Rates UK £156/year. Cheques made payable to Motor Transport. Apply online at mtssubs.com Registered at the Post Office as a newspaper Published by DVV Media International Ltd © 2023 DVV Media International Ltd ISSN 0027-206 X

Got something to say?

If you would like to contribute to MT’s Viewpoint, email steve.hobson@roadtransport.com 20.11.23



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Photo: Karl Andre Photography

Prometeon Tyre Group

Flexibility and agility key to boosting market share Prometeon’s focus on commercial tyres is paying off, as the manufacturer plans for significant growth over the next five years. Steve Hobson talks to UK MD Ali Yilmaz NEW DEALS: Roger Warnes is one of several major fleets to have recently signed up with Prometeon

TAKING THE LONG VIEW: Yilmaz compares the commercial tyre market to steering a big ship, with action needing to be taken long before results can be seen

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P

rometeon Tyre Group was formed in 2017 as a spin-off from the industrial tyre division of Pirelli and it is the only tyre manufacturer that focuses entirely on the bus, truck, agricultural and OTR markets. The multinational player has four factories (two in Brazil, one in Turkey and one in Egypt) and four R&D centres – one in each country, plus Milan, where the company is based. Although spelt slightly differently, the name refers to the Greek myth of Prometheus, the Titan friend of progress who stole fire from the gods to give it to mankind – and tyres are certainly forged in heat. Ali Yilmaz became UK, Eire and Nordics MD in January. Born in Turkey, he worked for Goodyear in Istanbul for almost seven years before he was invited to join Pirelli in 2016. After a spell in Turkey, Yilmaz relocated ➜ 18 20.11.23



Prometeon Tyre Group

motortransport.co.uk

INDEPENDENT TYRE DEALERS Like most tyre companies, Prometeon’s routes to market are a combination of retail sales and direct deals with large fleets, though without a captive network of owned distributors Prometeon relies on its relationships with tyre dealers to service its fleet customers. In April, Prometeon launched its SuperTruck dealer partnership programme in the UK, four years after its introduction in Italy. SuperTruck now includes 16 independent tyre dealers who get access to Pirelli-branded tyres, training and technical support. They will also get priority when it comes to servicing any new fleet contracts that Prometeon wins. “We have separated our dealer network into three groups: nationwide, regional and independent partners,” says Yilmaz. “We have targeted fleets for 2024, and if we make an agreement with a fleet we look at what is the best match on this dealer map. We are always looking at how we can give them a better service level that is tailor-made for them. “The independents remain an important channel for us and we will grow that.” Prometeon subcontracts its 24-hour breakdown service to the Devon-based Independent Tyre Distributors Network (ITDN), which offers a response time of 53 minutes during working hours and 74 minutes out of hours.

to Milan, where he was looking after the Nordic countries, before moving back to Istanbul as head of sales. In December 2020 he came to the UK as marketing manager of Prometeon, before quickly stepping up to first commercial director and then MD. “I have always been into truck tyres,” he says. “I love trucks! Whatever you do with your customers you can easily see the results. The main difference between truck and car tyres is that trucks are more scientific. Every customer is different and the products are tailor-made to the application. “While price is always important there is a chance to convince customers to move up from budget tyres to a more premium product, so truck tyres are more enjoyable.”

Premium boost

Since 2019, Prometeon’s UK performance has improved a lot due to the focus just on commercial tyres. “In 2023 we are doing very well,” says Yilmaz. “Because of our size we can be more flexible and agile than our competitors. By the end of the year our share of the ➜ 20

SUSTAINABILITY AND COSTS A big issue for an energy-intensive industry like tyre manufacturing is sustainability, something Yilmaz gets asked about a lot on his customer visits. “By the beginning of next year, we will present solutions to our customers,” he says. “The company is very serious about this topic and has a big department focused on sustainability.” In its latest sustainability report, Prometeon pledged to cut energy consumption 31% on 2016 levels by 2030, but the road map to a true zero-carbon tyre has yet to be found. When they were introduced over a decade ago, the EU tyrelabelling regulations were controversial, but Yilmaz says few operators ask about them now.

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Reducing both the environmental impact and cost of truck tyres is helped by the ability to first regroove and then retread premium tyres up to four times. Prometeon has worked closely with Grantham-based retreader Vaculug since 2006. “In our PPK agreements it is an important tool for us,” says Yilmaz. “But, of course, it depends on the customer’s needs. We can sit with the customer and decide what is the best mix of new and retread tyres to give the best cost and performance. “If we increase new tyre sales, we also increase our retreads. When we make a sale, we make a contract so after six months we can suggest the customer fits retreads. We can fit a test set and if the performance is good that will be a cost saving.”

20.11.23



Prometeon Tyre Group

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UK premium tyres market will grow more than 20%. We have a significant growth plan for the next five years.” Yilmaz compares the commercial vehicle tyre market to a big ship. “If you want to stop it, and take action now, it will stop in a minimum of one year. Same if you want to increase its speed – it takes a year,” he says. “We have good momentum right now.” Despite arriving in the UK in the middle of the Covid19 pandemic, Yilmaz says 2020 was really exciting from a business point of view. “Everyone wanted to buy tyres,” he says. “Nobody cared about the price – they were asking ‘do you have this size’ and if the answer was ‘yes’ then the response was ‘send me a box’. “We started to prepare our pipeline for 2023 and agreed which customers we would target. From August 2022 we were just knocking on doors so when it came to 2023, we would be there. And then in the first quarter of 2023 the market dropped 15% — it just collapsed.” Yilmaz’s long-term approach has seen Prometeon make several conquest deals among major fleets including Roger Warnes, Hargreaves and Collease. “In the first half of 2023 we did a great job and gained around 17 new agreements,” he says. “The second half of the year looks like it will be similar.”

Economic outlook

A keen watcher of the world economic picture, Yilmaz does not expect much of a bounce back until the second half of 2024, so he is predicting that the UK truck tyre market will be flat for the foreseeable future. He also knows that if Prometeon wants to grow its business with fleets he needs more boots on the ground and he is planning to significantly grow the UK team.

PROMETEON IN THE UK Today, Prometeon’s majority shareholder is Sinochem Holdings Corporation Group. It is based in Milan and Yilmaz is responsible for the UK, Ireland and the Nordic countries, one of four clusters covering the whole of Europe. Last year the UK business had a minor reorganisation which saw Steve Tift promoted to sales director. Yilmaz refers to his 20 colleagues at Prometeon’s Burton on Trent site as the “family” and puts much of the company’s success in recent years down to a huge team effort. Yilmaz takes a hands-on approach to customer relations and still regularly visits his fleet customers and dealers. “Every month I go into the field to see our key accounts with the sales team,” he says. “I started in this business as a sales rep and my CEO said then that when you get into more senior positions you don’t forget to visit your customers. If you don’t do that, you will be lost.”

The premium Pirelli brand remains Prometeon’s biggest seller in the UK, but it also plays in the mid-market with Formula and Pharos and the budget sector with Tegrys and Anteo. Most of Prometeon’s products sold in Europe are manufactured in Turkey, while the midrange and budget tyres are made in Egypt. The launch of the Pirelli-branded 02 Series in 2022 was something of a watershed according to Yilmaz, as the product is, he believes, as good as or better than any premium tyre on the market. ■

THE SERIE 02 The Serie 02 is the result of four years of study, 180 million kilometres of trials on Italian, German and Turkish roads, the testing of 2,500 tyres and the input from a working group of 100 professionals drawn from research and development, marketing, logistics and commercial departments. The Prometeon brand appears on all the Serie 02 tyres, with the wording ‘Prometeon Engineered’ to confirm the design and production effort of Prometeon Tyre Group and the technological innovations achieved. “The performance is really good,” Yilmaz says. “The mileage on the R02 is 20% better than the previous range.” The H02 is one of the best in class on rolling resistance, helping long haul fleets in particular to cut fuel consumption. “For long-haul customers running on straight roads, rolling resistance is an important KPI,” says Yilmaz. “A fleet’s tyres represent around 5% of total operating costs but they affect 30% or more of expenditure. However, a construction company is far more focused on the integrity than on rolling resistance.” Having the right product and great customer relations are of no benefit if the tyre is unavailable, but Prometeon has not suffered from any supply issues. The company invested £100m in its Turkish plant in 2018 to boost production by 75%, and last year the UK business switched its distribution partner from DHL Supply Chain to ATL to increase stockholdings threefold. Of course Prometeon, like any other player on the market, must be ready to face new challenges, such as conflicts, shortages of raw materials and increases in energy prices. The company drive, however, is to do everything to prevent critical situations and always act in partnership with its customers, in order to maintain good long-term relationships. 20 MotorTransport

20.11.23




Annual Conference 2023 2 November 2023, ICC Birmingham

CONFERENCE REVIEW


‘WE’RE STRONGER TOGETHER’ Welcome to this special supplement covering the FORS Annual Conference 2023, hosted in Birmingham on 2 November. This year’s theme ‘Building a resilient FORS Community for the road ahead’ was chosen because we know we’re stronger together, and this strength as a community of dedicated transport professionals will help us tackle the challenges ahead. Decarbonisation, resource shortages, and new legislation (to name a few) are obstacles we’ll need to overcome – but that’s nothing new. If the resilience of the community over the past few years is anything to go by, I have high confidence we’ll make it through. The team put together an exciting and diverse range of speakers this year covering a range of hot topics – we had updates from senior traffic commissioner Richard Turfitt and DVSA head of enforcement Marian Kitson, while Rebecca Jenkins and Shireen Ali-Khan spoke about business efficiency and how to create a winning team. Mark Cartwright and Darren Lindsey explored road safety, which will always be at the heart of FORS, and Anthony Marcou from Drivetech outlined the benefits of investing in training. Not forgetting Paul Fox and the FORS Q&A team talking about the importance of accreditation, and a useful session regarding upcoming changes to Version 7 from the Governance and Standards Advisory Group. Having attended many FORS conferences as an operator, it was a different experience for me this year as it was my first time as a concession director. It was a pleasure to present an overview of what FORS has been up to since the last annual conference and what operators can expect in the year ahead. It was also great to meet so many operators and see a few familiar faces. I hope you enjoy this brief rundown of the day’s events. If you’re interested in hearing more, go to forsannualconference.com/ fors2023/ where there is a more detailed post-event report, as well as photos and videos. The FORS conference remains a free event for FORS-accredited operators and those interested in joining to enjoy. Thanks to all the operators who made it to Birmingham, as well as the exhibitors that helped make the day possible. Geraint Davis, concession director, FORS

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FORS puts safety and efficiency in the spotlight Accreditation brings a wealth of benefits, including professional training, access to industry events and bespoke packages to support business needs, writes FORS THE FLEET Operator Recognition Scheme (FORS) has been at the forefront of fleet accreditation for more than 15 years and serves more than 4,700 operators running 94,000 vehicles across the UK and beyond. For FORS, compliance is only the start of the story. The scheme builds on specific transport-related regulations and the minimum obligations required by law. It provides an independent review of fleet operations and accredits against a progressive framework of safety, environmental and efficiency requirements. Instead of ‘compliance’, FORS uses the term ‘quality assurance’ when describing the requirement for operators to adhere to FORS standards. Joining FORS and achieving accreditation brings operators a wealth of benefits. As well as the badge of honour that signifies a high-performing organisation seeking to instil industry best practice, operators can attend key, topical events such as the FORS annual conference. As this year’s event has proven, it’s a productive way for transport professionals to come together to drive up standards across the industry and share their experiences. FORS operators also get access to a network of companies – called FORS Affinity Partners and Associates – that provide discounted and bespoke packages to support operators’ business needs. Some of these companies exhibited at this years conference, and all provide cost-saving services and products that help make operations safer, more efficient and greener. The FORS Professional portfolio provides peace of mind to leadership that their drivers and managers are continuously

November 2023


FORS Annual Conference Review

improving. With more than 30 distinct training courses on offer, FORS delivered 130,000 e-learning modules in 2022 alone. For fleet managers, The FORS Practitioner training programme was devised to improve knowledge, skills and confidence. The recently launched Advanced Practitioner course builds on this and enables managers to show their competence and dedication to professional development. Operators can enjoy discounted FORS Professional training courses by signing up for the scheme. FORS draws on the knowledge and experience of an alliance of influential and independent industry stakeholders who administer the scheme through the FORS Governance and Standards Advisory Group (GSAG). Several members of the group spoke at this year’s conference, reporting on the upcoming FORS Standard Version 7. The Standard is changed every two years to reflect the changing times and industry best practice. GSAG chairman Steve Agg said: “GSAG needs to make decisions by looking at the impact FORS can have on society.” The FORS team plans to expand the scheme. As outlined by FORS concession director Geraint Davies and FORS technical advisor Glen Davies, the scheme will be looking at entering emerging and growing sectors, expanding reach in the PCV sector, broadening e-learning options, and rewriting toolkits and guides. If you’d like to learn more about joining FORS or how becoming accredited can support your operation, contact the FORS helpline on 08448 090944, email enquiries@fors-online.org.uk, or go to fors-online.org.uk/cms/

November 2023

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Recognition scheme drives safety and compliance regime By Steve Hobson FORS HELD its sixth annual conference and exhibition at Birmingham’s ICC on 2 November, where more than 400 delegates heard recently appointed concession director Geraint Davies’s plans for the national accreditation scheme for the first time. This is the second conference since French tech giant Sopra Steria was appointed as the FORS concessionaire by TfL in 2021. It was chaired by Andy Salter, MD of Motor Transport publisher DVV Media International, who introduced the event by spelling out key concerns of operators, including decarbonisation and sustainability, fuel prices and operating costs. “These are big challenges,” he said. “But fleet operators are resilient.” Salter added: “While cost control has never been more important, it could not be at the expense of maintaining a strict regime of safety and compliance. That creates true resilience and FORS is a symbol of that resilience.” Davies, a former driver who has spent most of his career in the transport industry – including 22 years with Wales’

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first FORS Gold haulier John Raymond Transport – said his vision for the scheme was to make it the leading quality standard for the fleet sector, a sector that is expanding to cover van owner-drivers. Davies addressed the negativity surrounding the regulatory compliance of the scheme’s 4,700 accredited operators, which were audited 5,700 times last year by FORS-approved assessors. While FORS was never designed as a check on operators’ compliance with their legal obligations, Davies said the Bronze entry-level standard will be aligned with O-licence requirements. He pledged: “You will see some noticeable changes in Bronze auditing in 2024.” Competence framework FORS is introducing a fivemodule training programme to deliver a competence framework for auditors, who already receive a 9.4 out of 10 satisfaction rating from accredited operators. As well as being a confirmation to specifiers including many leading construction contractors that a haulier is operating to a high standard above and beyond the legal minimum, FORS can show its accredited operators also run more efficiently than the industry average, partly due to the training on offer. “FORS has the most complete range of management training in the industry,” said Davies. “We have seen a 20% increase in the take up of fleet manager training.” FORS Practitioner, a professional qualification that

recognises and demonstrates professional development in fleet management, has been redesigned to be more relevant to an individual’s work. Candidates now need to complete six mandatory and a choice of four optional modules within 12 months from completing the first module, compared with 10 mandatory modules previously. There are 15 modules to choose from, including managing driver fitness and vehicle roadworthiness. FORS has also introduced the Advanced Practitioner qualification for candidates who have completed all 15 modules. Training drivers is a key requirement of accreditation and 47,000 drivers received training in the nine months to September 2023. Davies announced a new Safe Driving training module to replace the previous Safe Urban Driving. “It is no longer just about driving in London; it is for drivers anywhere in the UK and is approved for the Driver CPC,” he said. FORS already has a comprehensive range of online training modules of 20 to 40 minutes for drivers and managers and next year it will trial approved third-party e-learning modules to widen the range of available subjects. To keep up-to-date with changes in technology and best practice, the FORS Standard is reviewed, updated and approved on a two-yearly cycle

by the FORS Governance and Standards Advisory Group (GSAG), chaired by Steve Agg. The current standard, version 6.0, came into effect on 1 July 2022 and emphasised the importance of decarbonisation to transport customers when assessing the performance of operators. Version 7 of the standard will be published early next year, ready to be implemented in summer 2024. Although details are not available, it is expected to increase the focus on the environment, especially for Gold operators, that should already have at least 50% of their fleet meeting ultra-low emission engine standards and a fleet replacement plan that demonstrates progression towards a 100% ultra-low emission fleet. National coverage FORS started out in London in 2006 as the Freight Operator Recognition Scheme but has since gone national and broadened to cover a wider range of operators, including those running passengercarrying vehicles. It will be expanded further to bring in single van owner-drivers, which Davies said was a sizeable market representing 9% of van drivers in the UK, and cargo bike operators. “The van scheme has been piloted with an 8,000-vehicle fleet van operator and will be rolled out in the coming months,” he said. “Another November 2023


FORS Annual Conference Review

Speaking out: (from left) Paul Fox, Geraint Davies and Richard Turfitt

emerging market is cargo bikes, and we are preparing a Bronze audit and rider training module with one operator.” One step beyond Senior traffic commissioner Richard Turfitt told delegates that, while there was “one rule book – the O-licence”, FORSaccredited operators aimed for higher standards. “You must meet O-licence conditions to operate legally, but with FORS you are looking to go further,” he said. “How do we support operators? With communication and guidance.” Turfitt said the main problem with operators he saw at public inquiries (PI) was a failure of management, and that, too

often, directors of the business did not fully understand their role and responsibilities in providing oversight of compliance with the O-licence undertakings. He contrasted the two definitions of oversight – either overseeing something to make sure it was right or the omission of overlooking something. “Too many are in the second category,” he said. “The O-licence requires directors to be actively engaged in managing the operation.” Refresher course While there is no statutory requirement for transport managers – unlike the drivers they manage – to undertake regular training, statutory

guidance spells out the circumstances where a transport manager should complete a recognised two-day refresher course. These include where a transport manager passed their CPC more than 10 years ago or has not been named on an O-licence for more than five years and when a PI has found that a transport manager has failed to ‘exercise continuous and effective management’. “Transport managers must keep up to date,” said Turfitt. “They play a key role in balancing the needs of the business with safety and compliance.” Turfitt went on to say that while the driver shortage is easing, “how do you manage

agency drivers who are increasingly prevalent?” The answer, he suggested, was “it has to be training”. More training is also required in driver defect reporting, which is still a major issue at PIs. “I am appalled at the number of operators that stick with a daily walk-around check,” he said. “It’s a start, but what about during the time of operation?” Another subject causing confusion is when operator’s vehicles need to be added to the O-licence. “Do you need an O-licence for all vehicles? No,” Turfitt said. “But if they are to be immediately used then you need to consider adding them. “We will be issuing fresh guidance on this topic.”

GOING FOR GOLD Construction haulier Fox Group has seen operational and business benefits from being one of the few operators in the north-west to have achieved FORS Gold status, its MD Paul Fox told the conference. The firm operates 350 vehicles from eight sites, all of which are FORSaccredited, one to Gold, and is leading the way on carbon reduction. “Our carbon footprint last year was 18,500 tonnes of CO2 emissions. We burn 200,000 litres of diesel every week. Something has to change and reducing carbon emissions adds value to our business,” Fox said. Fox has acquired two Volvo FE Electric 6×2 tippers, believed to be the first on UK roads, as part of its carbon-reduction programme. The company started on the road to

November 2023

FORS accreditation in 2017 after several of its Tier 1 and 2 construction clients insisted on it in their tenders. “It wins us work and is crucial to how we are seen as an operator,” Fox said. “FORS is all about upskilling the workforce and raising morale. Our drivers know they have to do lots of training and that is a big investment as we have two people full-time on it. We have more than 100 drivers trained to Gold standard, including completing the safe driving and net-zero courses. It gives us a competitive edge and helps with the culture among drivers. Gold drivers use less fuel, drive more safely and their vehicles need less repair and maintenance.” The firm is working towards getting every site up to Gold standard in the next three or four years. “There is a cost to

driving these difference-making changes,” he said. “It works to our advantage, but it is not a level playing field. Going from Bronze to Silver and then to Gold are big jumps but they are worth it. The quickest way to add enterprise value is to invest in environmental, social and corporate governance and corporate social responsibility measures.”

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FORS Annual Conference Review

ACSS shows AI-enhanced detection system FLEET TECHNOLOGY expert ACSS highlighted its latest vulnerable road user (VRU) detection system at this year’s FORS conference. Using front- and nearsidemounted artificial intelligenceenabled cameras, the AI VRU detection system alerts the driver and pedestrian or cyclist of imminent danger in an HGV blind spot, with warnings increasing in frequency as a collision becomes imminent. ACSS said the use of AI enables the system to distinguish between VRUs and street furniture on busy urban streets, therefore reducing false alarms and associated driver fatigue. The AI processing unit brings additional functionality, such as cloud and local storage, live

view functionality, and integration with existing mobile digital video recorders and camera feeds. ACSS said the system was designed to conform to safety standards outlined in UN Regulation No 151/ 159 on Blind Spot and Moving Off Information Systems for the detection of pedestrians and cyclists. The system can be fitted to any vehicle type and complies with TfL’s Direct Vision Standard Progressive Safe System requirements, which are due to become effective from October 2024. ACSS is a long-time supporter of FORS, working alongside security partner Maple and connected technology firm Samsara to

AlcoDigital testing cuts alcohol and drug use A ROBUST alcohol and drugs testing policy can not only bring major health and safety benefits to operators, but can also boost

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productivity and enhance customer satisfaction, according to AlcoDigital. The company said billions of

drive efficiencies into customers’ operations. ACSS marketing executive Divanshu Saraf said: “For many years, ACSS has supported the FORS’ initiative in providing systems that enable the haulage and construction industry to

operate with responsibility to all road users. “We continue to maintain our clients’ systems and support them as they progress from Bronze to Gold standard, recognising the benefit to the business of FORS compliance.”

pounds are lost every year in reduced productivity attributed to alcohol and drugs, with more than one-third of employers saying misuse is a problem in their business. AlcoDigital operations director Suzannah Robin works with companies to implement thorough policies for staff through certified training programmes. These include the correct use of safety equipment, accurately interpreting results and spotting the different signs and symptoms of drug and alcohol misuse. The company designs and manufactures a range of drug, alcohol and Covid testing systems for businesses. She said: “If a company has staff working on heavy machinery or they employ commercial drivers then we recommend regular testing – this could be anything from fitting an interlock breathalyser [such as AlcoDigital’s

Drivealyzer] to a vehicle, which will immobilise the engine if the result proves positive, to testing employees before shifts with a handheld digital device.” Robin added that if implemented effectively, drug and alcohol policies can reduce absenteeism, increase worker productivity and improve customer satisfaction. “We have found that regular random testing of employees for drugs and alcohol has resulted in significant benefits from improving safety and safeguarding businesses from the potential fallout of lost revenue and reputational damage,” said Robin. “However, many more companies, particularly those in the transport industry or those operating heavy machinery, need to do more to improve standards not just for the safety of their employees but to protect the general public as well.” November 2023



FORS Annual Conference Review

Aspöck’s RADC 1.0 for safer reversing TRUCK SAFETY and visibility expert Aspöck showed its radar-based trailer reversing technology on its stand, which was developed to assist drivers when backing into loading bays, or challenging public areas. As well as enhancing safety during reversing manoeuvres, the company said it can also minimise costs from repairing vehicles damaged in reversing collisions. The RADC 1.0 system is equipped with a sturdy radar sensor that monitors a large area of up to 3m x 10m, which

can be set for different vehicles and requirements. When the reverse gear is engaged, the system is automatically activated and scans the area for rigid and moving objects. The system is compatible with EBS modules from leading manufacturers and can control a braking function with this connection.

Aspöck’s RADC 1.0 was awarded a Kings Award for Innovation earlier this year (pictured above). The Austrian-owned business also displayed its latest AI-assisted camera system at the conference, which complies with TfL’s Direct Vision Standard Progressive Safe System, alongside its expertise in commercial

vehicle lighting ranges. Aspöck head of sales Mark Toghill said the business supports the aims of FORS when it comes to encouraging high standards of safety across the industry. “We see FORS as being at the forefront of setting new standards in vehicle operation and safety, something Aspöck also strives to achieve,” he said.

Brigade uses smart algorithms to detect VRUs BRIGADE ELECTRONICS brought its AI-enhanced vulnerable road user (VRU) detection technology into the spotlight for FORS delegates. Using intelligent algorithms to predict ‘time to collision’, rather than simply detect VRUs near the vehicle, the technology helps to minimise false alerts and subsequent driver fatigue. Radar Predict, which this year scooped the Innovation Award at the MT Awards, is an advanced collision prediction system designed to protect VRUs from collisions with HGVs. Using AI technology, the single dual-radar analyses data such as the speed and direction of both the vehicle and the cyclist. By differentiating between static and moving objects, the 30

radar detection system alerts the driver when an impact with a cyclist or other road user is likely. The unit is positioned on the nearside of the truck and gives complete coverage to the side of the vehicle, including the trailer unit. Sidescan Predict is Brigade’s

next generation of sidedetection sensor system, designed for collision avoidance between road vehicles, objects and VRUs. Using ultrasonic technology, this intelligent system predicts if a collision is likely to occur. By analysing data such as speed, direction and acceleration of the vehicle

and detected object, and differentiating between static and moving objects, the Sidescan Predict algorithm assesses the risk and calculates the likelihood of an impact. Both Radar Predict and Sidescan Predict are compliant with TfL’s Direct Vision Standard Progressive Safe System requirements. Attending the FORS conference this year, Brigade UK marketing manager Emily Hardy said the company has been a long-standing supporter of the scheme and its aims. “Brigade has been an active member of FORS since its inception more than a decade ago. Brigade is passionate about safety and bringing solutions to help operators to achieve FORS status and increase safety for all road users.” November 2023



FORS Annual Conference Review

Driver Hire delivers comprehensive training DRIVER HIRE Training highlighted its range of driver risk management and training services, which are available nationwide for operators. The training expert works with operators to deliver essential training across the

business in topics such as Driver CPC, Transport Manager professional courses, O-licence acquisition and fleet training. Driver Hire is also FORSaccredited to run courses for drivers and transport managers including Safe Urban Driving,

Van Smart, Congested City Driving and Understanding Operational Risks and Terrorism. To complement its training offering, Driver Hire has developed a bespoke driving licence-checker service, which automatically carries out required DVLA searches for operators and creates an auditable online record. The licence-checking system can be accessed on any device that has a camera, 24 hours a day, and it is GDPR-compliant. When an operator partners with Driver Hire, they work with a dedicated account manager who will create a structured plan for training, licence-checking and recordkeeping requirements. This training plan is developed individually for each

company depending on their needs and can be modified if additional services are required to upskill members of staff with specialist courses. Alongside its training division, Driver Hire Nationwide is a specialist, national recruitment service for commercial vehicle drivers, whether they are needed for temporary or permanent positions. Driver Hire commercial director David Slack said: “We are a training provider that aims to deliver quality courses to drivers and logistics professionals that improve their knowledge and skills, focusing on efficiency, road safety standards and compliance. “These are all areas that align with FORS’ objectives in driving up standards across the transport sector.”

Fastview360 helps to boost fleet safety FASTVIEW360 USED A safety-focused HGV to demonstrate how its latest technology can help fleets comply with TfL’s Direct Vision Standard Safe System and Progressive Safe System (PSS) regulations (effective from October 2024), as well as other key industry schemes such as FORS, CLOCS and HS2. Visitors explored the vehicle at the event and saw how Fastview360’s camera monitoring system can see all around a vehicle to eliminate blind spots. This is complemented by a blind spot information system on the nearside, which uses advanced AI technology to avoid inaccurate notifications and eliminate other objects – 32

such as roadside furniture – from being detected. Fastview360 said the technology can be retrofitted to vehicles and can incorporate existing systems, which may remove the need to have a full replacement kit to achieve PSS compliance. Fastview360 MD Damion Davis said: “Our aim is to ensure fleets meet safety compliance, knowing the importance of other road users’ safety and with the driver in mind, as they are the ones in the cab using the technology.” The company’s moving-off information system also features advanced AI technology that gives detection warnings that escalate with the level of danger involved. These

warnings are visual on the controller and monitor as well as being audible to both the driver and the road user with the designated alerts and spoken warnings. Davis said: “We are FORS Associates as we believe in promoting safe practice, improved efficiency and using technologies and hardware to achieve these outcomes with minimal disruption to hauliers’ workload.” November 2023



FORS Annual Conference Review

Drivetech works on future-proofing fleets DRIVETECH, PART OF the AA, was on hand at the conference to talk with operators about how to improve driver standards, reduce fleet running costs and stay compliant. It provides a range of products, including driver and fleet health checks, UK licence checking, online risk assessments, e-learning training modules, on-road coaching, workshops and bespoke driver days. Its most recent launch, Drivetech Consult, was designed to help operators not only drive efficiency into their business, but also to futureproof fleets and achieve sustainability goals. The fleet management package has been developed to help time-pressed fleet

managers navigate complex compliance regulations and keep abreast of new technology and infrastructure to ensure they make informed decisions. It will assist with optimising

data to improve operational and vehicle performance; support businesses with developing and achieving ESG targets; and advise on key safety issues to enhance driver wellbeing, boost

efficiency and reduce accidents and claims. Head of commercial development Jennifer Morris said: “Every business is unique, with its own challenges and goals. Customised fleet management solutions such as Drivetech Consult can help deliver improvements in operational efficiency by helping businesses identify specific pain points and individual risks, reducing the potential for accidents, improving efficiency and preventing avoidable costs or reputational damage. “Bespoke consultancy also ensures a business remains adaptable to regulatory changes, market conditions, and evolving technology, such as electric vehicle transition, which will also be supported by Drivetech Consult.”

technical specifications. “We also want fleets to enjoy a smooth transition to DVS Phase 2 with Durite,” added Vanoli. “So we are doing thorough work in the background to ensure they get their safety permits when

the applications open.” The PSS comes with a two-year extended warranty; AHD (analog high-definition) monitor; BSIS and MOIS camera system; left-turn speaker; warning sign; low-speed trigger and cables.

Durite drives safety standards with PSS DURITE LAUNCHED A Direct Vision Standard (DVS) Progressive Safe System (PSS) at the conference, highlighting its commitment to advancing standards and practice in vehicle safety. Durite marketing manager Veronique Vanoli said: “The FORS conference is the perfect platform for us to showcase our all-in-one solution as it brings together operators that strive to achieve best practice in safety.” TfL’s Phase 2 strengthening of DVS rules, which will take effect from October 2024, require the nearside detection system – or BSIS (blind spot information system) – to distinguish between stationary and moving objects, and to only alert the driver when a 34

collision is imminent. A moving off information system (MOIS) has also been added to detect vulnerable road users who are within – or about to enter – the critical blind spot area in front of a vehicle. Durite’s PSS uses AI technology to eliminate blind spots and offers an enhanced detection area that fully meets the coverage proposed by TfL to improve visibility and safety. Vanoli said: “Our BSIS and MOIS already meet UNECE R151 and R159 standards, however it was critical for us as a business to go through rigorous testing as per TfL’s guidance.” Durite used an independent, third-party company to ensure its testing procedures met TfL’s

November 2023



FORS Annual Conference Review

Best practice is priority with Jaama’s Key2 FLEET MANAGEMENT technology expert Jaama highlighted its commitment to working with operators and industry organisations to promote best practice and raise standards across the sector. The company’s Key2 asset management software manages more than one million trucks, vans and cars and Jaama said it provides the “industry’s benchmark for helping fleets manage their safety and compliance”. The Key2 Compliance Manager module is fully configurable to individual fleet needs and includes an audit trail of historical events and electronic document storage, which aims to make fleet operations paperless. New functionality in Compliance Manager includes

historical events being stored against the asset record to enable fleet managers to analyse whether action is being taken prematurely, on time or late. It then auto-creates the due date for the next event, such as a service, MoT, or inspection.

As a FORS Associate, Jaama works with organisations such as Skanska, TfL and Speedy Asset Services to help them achieve and maintain their FORS status. Jaama offers FORS operators a series of benefits such as process reviews to establish and

document a fleet’s business and system’s fleet management software requirements to achieve or maintain FORS accreditation. A Speedy Asset Services spokesperson said of Key2: “We have all the information in one place, providing a comprehensive and easily accessible individual vehicle and driver record, which improves administration and enables fleet forecasting to optimise compliance and improve operational efficiencies.” Jaama is also recognised by the DVSA as a validated IT supplier for the Earned Recognition scheme and its Key2 system helps operators reduce routine roadside inspections by sharing data seamlessly with the DVSA directly through an API link.

PTC bridges gap in transport management PROVIDING ONE-STOP-SHOP solutions for transport management was the focus on Paramount Transport’s (PTC) stand, particularly for timepressed fleet managers. With more than 20 years’ experience helping operators of all sizes identify and overcome challenges, PTC has developed a portfolio of services and tools to manage all aspects of a transport business, drive operational efficiencies and reduce costs. These range from driver training and O-licence applications, through to compliance audits and preparation for public inquiries and DVSA visits. PTC head of compliance Harry Kapoor said: “Effective decision-making plays a pivotal role in identifying areas where additional expenses are accrued 36

or processes fall short of optimal efficiency. “Leveraging a transportation management system with PTC grants you access to the essential data and trends required for decision-making that enhances operational efficiency and cost reduction.” PTC also recognises thе demand for intеlligеnt and еco-friеndly transportation is morе pressing than еvеr. To support this trend, it has integrated the latest technologies into its products, including artificial intelligence (AI), thе internet of things (IoT) and big data analytics (BDA) that it believes are crucial for promoting sustainability in transportation. PTC transport operations manager Gia Bhatia said: “Our core focus is to provide transformative transport

solutions that revolve around safety and efficiency. The wide range of services we provide – from remote tacho downloads to extensive driver and manager training – sets higher industry benchmarks. “Our ethos embodies professionalism, innovation, and

a dedication to a future where transport is secure and streamlined. “We welcome any size operator to contact us if they are facing challenges in their operation or seeking cost reductions while maintaining the highest compliance levels.” November 2023



FORS Annual Conference Review

TDi works with FORS to analyse tacho data TDI SOFTWARE HAS partnered with FORS to offer operators exclusive access and a discount for its tachograph analysis software. The FORS Tacho Service provides an easy-to-use system to help Bronze, Silver and Gold operators fulfil the D7 requirement of recording working time and drivers’ hours. It is designed to reduce infringement rates, while increasing the accuracy and

efficiency of the recording process. The system uses intuitive dashboards to enable easy access to key data, such as driver status and infringement data, which is available in real-time for instant updates. For more in-depth reporting, a user clicks through on the dashboard to access a range of 40 reports ranging from driver licence expiry dates to Driver CPC expiry dates.

Reports can also be scheduled to arrive in an inbox at required intervals. FORS Tacho Service provides a driver debrief function for fleet managers, as well as a driver app to help them in their role. TDi Software marketing manager Bethany Beadling said: “At TDi, we understand the importance of accuracy and efficiency when it comes to understanding tachograph data

to improve compliance across fleets. We’re proud to be working with FORS to bring operators access to the FORS Tacho Service. This will assist with working time, drivers’ hours and infringement management, and allows operators to view their driver and vehicle data in a way that’s simple to understand.” TDi Software also provides a range of transport management and compliance software.

Webfleet drives towards sustainable mobility WEBFLEET WAS on hand to share its fleet safety expertise with visitors, alongside highlighting its commitment to sustainable mobility. The Bridgestone-owned telematics company highlighted key products from its range, including OptiDrive360 – a comprehensive approach to help drivers adopt a responsible driving style. It provides valuable insight on driving issues such as excessive idling, harsh braking and speeding to fleet managers and the driver – delivering direct feedback to drivers before, during and after a trip. Webfleet said responsible driving can help operators reduce fuel costs, maintenance bills and insurance premiums, 38

reducing the total cost of vehicle ownership. Driver safety can be further enhanced through a Webfleet video dashcam, which provides HD footage alongside driving data, such as GPS and speed, to give a comprehensive picture of incidents. The driver-facing fleet dashcam

uses AI technology to detect dangerous behaviour – such as using a mobile phone – and will immediately warn the driver so they can rectify their actions and prevent danger. Webfleet dashcams provide on-demand retrieval of historical footage, live real-time streaming and

automatic event uploads. For operators wanting to transition to electric vehicles (EV), Webfleet has partnered with Chargylize to create an electrification checklist, using telematics data to inform the right decisions for your business. For those not ready to move towards EVs, Webfleet telematics can provide the data needed to optimise journeys and reduce fuel consumption, ensure vehicles and tyres are performing to their utmost, and train drivers in greener driving styles. The business has also developed a Green Your Fleet platform where operators can calculate and offset their CO2 emissions, in partnership with Justdiggit to re-green dry lands in Africa. November 2023




motortransport.co.uk

The tough get going

Photo: Jarek Kilian / Shutterstock

It’s been a difficult year for the road transport industry, but our annual survey of company performance highlights the professionalism and tenacity of operators in facing up to the challenges, writes Malory Davies

T

here’s no doubt that the past year has been a tough one for the transport sector. After a recovery from the impact of Covid-19, the industry has had to deal with low growth in both retail and manufacturing combined with soaring inflation. The success of many companies in responding to these challenges can be seen in the Profit Growth table, led by operators such as Culina and Turners of Soham. However, the overall performance of the industry, as shown in the key averages table, is noticeably down on the previous year. A major

KEY AVERAGES Turnover (£000s) Operating profit (£000s) Operating profit margin (%) Pre-tax profit (£000s) Pre-tax profit margin (%) Capital employed (£000s) Return on capital employed Number of employees Sales per employee (£) Pre-tax profit per employee (£)

MORE SUSTAINABLE MORE EFFICIENT MORE COMPETITIVE

20.11.23

Latest year 355,076 11,871 3.34 8,955 2.52 161,928 7.33 3,783 93,861 2,367

component of this decline is the parcel sector. During the Covid-19 crisis, parcel operators were beneficiaries of the rapid growth in home shopping as well as delivery of Covid-19 kits. Not surprisingly, the end of Covid-19 saw something of a decline that not even a stellar performer like DPD could totally compensate for. Not only that, the strikes at Royal Mail that pushed the business into a £436m loss last year have left sector profits looking unexpectedly thin. At first sight, the one parcel company that appears to have bucked the trend is Yodel, but it is worth noting that it has not yet released results for last year. Yodel is owned by the Barclay family, which has been struggling Previous year Change (%) with a mountain of 352,263 0.80 debt, and there has 19,877 -40.28 been speculation in 5.64 the financial press that Yodel will be sold 16,876 -46.94 as soon as a suitable 4.79 buyer is found. As 172,468 -6.11 things stand, Yodel 11.53 has extended its financial year from 3,803 -0.53 June to December. 92,628 1.33 This means it is 4,438 -46.66 obliged to publish

figures for 2022 by the end of December. The year has also seen the demise of some famous names. Tuffnells – the big green parcel machine – called in administrators in June, blaming the impact of Covid-19, inflation and increasing competition. A number of the depots have been taken over by rivals such as DX. Another well-known operator, KNP Logistics, was pushed into administration in September following a cyber attack. Overall, smaller operators have proved to be remarkably resilient in the face of tough trading conditions. Of the 42 companies with turnovers of less than £50m, 22 have seen profits grow. That is a feat achieved by only six of the 15 companies with turnovers of more than £500m. And there is evidence that companies are continuing to invest. According to the Logistics Confidence Index, published in October by Barclays and BDO, some seven out of 10 logistics leaders say “significant capital spending is likely or very likely” over the next 12 months. Although there are still headwinds to be faced in the coming year, there is evidence that the domestic economy, at least, is calming. Inflation is easing, and worries of a deep recession have largely gone away with modest growth forecast for the coming year. The ingredients are there for the industry to see a resurgence in performance. n ➜ 42

Better fleet performance with Goodyear Total Mobility MotorTransport 41


LARGEST 100 COMPANIES (BY TURNOVER) Latest rank 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50

Previous Company or trading name rank 1 Royal Mail (IDS, UK operations) 2 DHL 3 DPD 4 Culina Group 5 GXO Logistics 6 Hermes Parcelnet (Evri) 7 Wincanton 8 Menzies Distribution Group 9 UPS 11 Whistl UK 14 XPO Logistics 13 Yodel 10 FedEx Corporation 16 Turners (Soham) Holdings 15 Gist 17 Maritime Transport 18 DX Group 19 Ceva Logistics 12 GXO Logistics UK II (formerly Clipper) 22 Yusen Logistics (UK) 20 Gregory Distribution (Holdings) 21 Kuehne + Nagel 23 Europa Worldwide Group 27 W H Malcolm 25 DSV Road 26 Kinaxia 24 Movianto UK 29 Langdon Group 35 McBurney Transport Group 36 Pentalver 30 Gefco UK 33 Hoyer Gas & Petroleum Logistics 34 BCA Automotive 31 EV Downton 32 FreshLinc Group 37 Howard Tenens 40 Suttons Tankers 39 Owens (Road Services) 45 Panther Warehousing 54 Advanced Supply Chain Group 49 Kammac 46 John G Russell 48 Woodside Logistics Group 41 Cold Fell Group (ECM Vehicle Delivery Service) 52 Maxi Haulage 47 GBA Logistics 44 Reed Boardall Group 56 R Swain & Sons 57 Moran Logistics 51 Abbey Logistics Group

FIND YOUR EDGE 42 MotorTransport

Financial Latest year year end turnover (£000s) 26/03/2023 7,411,000 31/12/2022 5,302,477 02/01/2022 2,004,505 31/12/2022 1,817,297 31/12/2021 1,504,962 26/02/2022 1,465,409 31/03/2023 1,462,000 31/12/2022 1,268,500 31/12/2021 1,238,579 31/12/2022 732,851 31/12/2022 692,720 30/06/2021 676,014 31/05/2022 619,989 31/12/2022 598,256 01/01/2022 551,506 27/12/2022 482,304 02/07/2022 428,200 31/12/2022 407,182 31/12/2022 402,291 01/04/2023 337,670 01/10/2022 335,624 31/12/2021 267,767 31/12/2021 264,031 31/01/2022 224,438 31/12/2022 222,926 31/12/2022 206,647 31/12/2022 204,776 31/12/2022 178,314 31/12/2022 144,084 31/12/2022 139,950 31/12/2021 139,284 31/12/2021 138,262 29/03/2022 135,707 31/12/2021 131,302 29/01/2022 127,957 30/09/2022 124,134 30/04/2022 114,027 30/06/2022 106,949 31/12/2022 105,699 30/12/2021 97,920 31/12/2022 84,184 31/03/2022 80,125 31/03/2022 79,675 31/12/2021 78,139 30/09/2022 75,457 31/12/2022 75,023 31/03/2022 74,180 31/12/2022 72,128 30/12/2022 68,857 02/07/2022 67,525

Latest year pre-tax profit (£000s) -436,000 108,742 306,346 85,272 65,467 117,331 38,200 3,500 91,204 -2,113 3,513 25,621 37,931 85,723 34,166 40,144 17,400 -5,421 -25,898 8,760 11,917 102,821 10,110 11,453 13,305 1,820 -5,835 8,507 18,961 17,810 11,758 -2,198 -8,570 2,007 1,251 16,140 2,166 5,846 18,781 2,237 19,606 8,783 5,216 -380 3,622 971 -4,113 817 1,807 1,696

Latest year employees 147,593 45,397 9,421 14,962 22,861 7,298 20,005 5,025 9,574 2,466 4,050 4,519 8,310 4,223 5,638 2,920 4,026 3,796 8,754 1,692 2,992 3,807 1,098 1,888 823 1,726 1,161 1,459 851 478 482 1,293 1,140 1,382 538 752 914 917 494 1,755 505 704 583 731 309 409 804 449 498 585

Previous year turnover (£000s) 8,514,000 4,908,299 2,097,489 1,699,364 1,197,694 1,449,910 1,421,400 1,269,600 1,157,938 781,341 605,503 520,630 796,119 519,232 471,837 416,023 382,100 332,644 696,201 296,930 273,431 630,669 210,749 184,581 199,943 184,938 203,252 149,689 115,505 139,271 127,091 118,504 117,447 105,417 111,862 112,310 89,984 94,954 87,205 59,925 67,609 68,830 68,407 74,011 63,178 69,441 69,851 57,786 56,792 64,384

Previous year pretax profit (£000s) 377,000 217,761 337,771 46,757 46,604 130,204 54,800 13,500 117,960 4,212 7,881 -32,764 28,528 62,350 32,952 28,330 10,600 287 26,731 6,806 11,032 -70,020 3,652 8,192 14,369 3,269 4,823 6,776 11,517 11,119 9,510 -1,496 -5,497 -7,027 2,445 20,943 2,285 6,154 14,507 3,098 7,499 7,827 5,509 -268 2,163 2,084 705 763 3 2,765

More competitive fleets with Goodyear Total Mobility 20.11.23


motortransport.co.uk

LARGEST 100 COMPANIES (BY TURNOVER) Latest rank 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100

Financial Latest year Previous Company or trading name year end turnover (£000s) rank 50 Currie International 30/06/2022 65,930 58 Lenham Storage Group 31/08/2022 62,835 53 Boughey Distribution 31/05/2022 62,684 55 Pickfords Move Management 30/09/2022 60,319 63 RT Keedwell (SR Keedwell Holdings) 31/10/2022 53,375 61 Lomas Distribution 31/07/2022 53,168 60 Solstor UK 30/09/2022 51,666 69 Knowles Logistics 31/12/2022 50,073 62 S J Bargh Group 30/04/2022 49,017 70 Buffaload Logistics 01/01/2022 48,122 64 Lineage UK Transport 31/12/2021 47,887 75 E T Holdings (Evans Transport and Seymour Transport) 31/03/2022 46,444 65 Expect Distribution 30/11/2022 46,004 59 Meachers Global Logistics 31/05/2023 45,833 85 McCulla Holdings 31/12/2022 44,334 73 Lloyd Fraser Holdings 28/02/2022 43,996 76 McPherson 28/07/2022 43,753 67 Americold Whitchurch 31/12/2021 41,877 68 Master Removers Group 2019 30/09/2022 41,617 66 Freightroute 31/12/2022 41,535 72 T J Transport Group Holdings 31/12/2022 41,189 74 H Sivyer Transport 31/03/2022 40,956 71 Countrywide Freight Group 31/03/2022 39,095 80 WS Specialist Logistics 30/11/2021 38,676 81 Neill & Brown Global Logistics Group 30/04/2022 37,715 79 WM Armstrong (Longtown) 31/03/2022 35,202 77 Montgomery Transport 30/09/2022 35,175 78 Fred Sherwood & Sons (Transport) 31/03/2022 34,123 92 Goldstar Heathrow 31/03/2023 34,000 87 The Bartrum Group 31/12/2022 33,216 86 Elddis Transport (Consett) 31/12/2022 32,741 93 Brit European Transport 31/12/2022 32,575 102 Ascott Transport 31/12/2022 32,067 84 Newell & Wright Transport Contractors (Sheffield) 31/08/2022 31,036 89 Fagan & Whalley 30/04/2022 30,938 104 EM Rogers (Transport) 31/01/2023 30,134 88 BP Mitchell Haulage Contractors 30/06/2022 29,346 94 Chris Hayter Transport 31/12/2022 29,293 106 Archbold Logistics 31/12/2022 28,628 91 TP Niven 31/03/2023 28,627 113 J W Suckling Transport 31/12/2022 27,269 98 Woodland Logistics 31/12/2022 26,733 100 Hayton Coulthard Transport 01/10/2022 26,570 90 Stan Robinson Group 31/05/2022 26,551 96 Carlson Vehicle Transfer 31/12/2022 26,431 83 MDS Distribution Ltd 31/01/2022 26,403 95 Arcese UK 31/12/2022 26,197 103 CMA CGM Inland Services UK (formerly Containerships Land) 31/12/2021 25,939 120 Peter Green Haulage 31/12/2022 25,771 97 George Walker Transport 31/12/2022 25,764

Latest year pre-tax profit (£000s) 1,344 2,658 942 3,048 3,599 1,308 1,801 1,141 1,210 2,136 714 2,499 3,774 4,484 5,081 670 3,348 -69,377 3,903 -70 -198 751 2,013 1,535 3,217 710 1,692 772 3,002 2,930 683 405 1,009 382 468 1,893 9,680 2,087 1,372 75 1,428 -223 1,804 1,411 -2,618 -545 2,464 615 1,495 2,791

Latest year employees 462 616 705 370 320 304 64 380 505 235 335 343 357 207 278 501 407 380 479 459 218 127 331 276 155 295 270 37 298 243 335 161 313 243 326 108 71 325 136 238 208 227 188 320 181 235 138 177 207 161

Previous year turnover (£000s) 65,715 56,400 54,930 58,103 44,646 45,101 50,280 39,237 44,997 38,302 41,685 34,833 40,606 55,283 32,729 36,483 34,771 38,975 38,530 39,667 38,018 35,172 38,028 30,576 30,324 33,303 34,623 33,801 26,309 28,766 28,778 25,421 26,456 29,063 26,644 24,519 28,448 23,798 25,036 26,428 21,103 22,174 22,052 25,856 23,218 29,396 23,709 20,348 19,897 22,467

Previous year pretax profit (£000s) -792 3,423 -493 4,507 4,315 1,618 1,494 1,074 1,792 2,052 -1,267 3,376 7,523 5,000 3,141 1,652 2,841 4,029 4,163 1,405 1,086 1,564 1,367 1,159 2,708 479 2,418 742 2,800 2,581 1,161 -91 749 -739 1,465 1,611 7,531 1,723 1,719 359 664 1,325 1,214 2,270 -2,780 207 629 609 1,939 1,321 ➜ 44

DO MORE More efficient fleets WITH LESS with Goodyear Total Mobility 20.11.23

MotorTransport 43


GROWTH IN TURNOVER Latest year Previous year Growth in Turnover Overall Company or trading name turnover turnover turnover growth rank (£000s) (£000s) (%) rank £500m-plus turnover 1 12 Yodel 676,014 520,630 29.8 2 5 GXO Logistics 1,504,962 1,197,694 25.7 3 15 Gist 551,506 471,837 16.9 4 14 Turners (Soham) Holdings 598,256 519,232 15.2 5 11 XPO Logistics 692,720 605,503 14.4 6 2 DHL 5,302,477 4,908,299 8.0 7 9 UPS 1,238,579 1,157,938 7.0 8 4 Culina Group 1,817,297 1,699,364 6.9 9 7 Wincanton 1,462,000 1,421,400 2.9 10 6 Hermes Parcelnet (Evri) 1,465,409 1,449,910 1.1 11 8 Menzies Distribution Group 1,268,500 1,269,600 -0.1 12 3 DPD 2,004,505 2,097,489 -4.4 13 10 Whistl UK 732,851 781,341 -6.2 14 1 Royal Mail (IDS, UK operations) 7,411,000 8,514,000 -13.0 15 13 FedEx Corporation 619,989 796,119 -22.1 £100m - £500m turnover 1 37 Suttons Tankers 114,027 89,984 26.7 2 23 Europa Worldwide Group 264,031 210,749 25.3 3 29 McBurney Transport Group 144,084 115,505 24.7 4 34 EV Downton 131,302 105,417 24.6 5 21 Gregory Distribution (Holdings) 335,624 273,431 22.7 6 18 Ceva Logistics 407,182 332,644 22.4 7 24 W H Malcolm 224,438 184,581 21.6 8 39 Panther Warehousing 105,699 87,205 21.2 9 28 Langdon Group 178,314 149,689 19.1 10 32 Hoyer Gas & Petroleum Logistics 138,262 118,504 16.7 11 16 Maritime Transport 482,304 416,023 15.9 12 33 BCA Automotive 135,707 117,447 15.5 13 35 FreshLinc Group 127,957 111,862 14.4 14 20 Yusen Logistics (UK) 337,670 296,930 13.7 15 38 Owens (Road Services) 106,949 94,954 12.6 16 17 DX Group 428,200 382,100 12.1 17 26 Kinaxia 206,647 184,938 11.7 18 25 DSV Road 222,926 199,943 11.5 19 36 Howard Tenens 124,134 112,310 10.5 20 31 Gefco UK 139,284 127,091 9.6 21 27 Movianto UK 204,776 203,252 0.7 22 30 Pentalver 139,950 139,271 0.5 23 19 GXO Logistics UK II (formerly Clipper) 402,291 696,201 -42.2 24 22 Kuehne + Nagel 267,767 630,669 -57.5 £50m - £100m turnover 1 40 Advanced Supply Chain Group 97,920 59,925 63.4 2 58 Knowles Logistics 50,073 39,237 27.6 3 48 R Swain & Sons 72,128 57,786 24.8 4 41 Kammac 84,184 67,609 24.5 5 49 Moran Logistics 68,857 56,792 21.2 6 55 RT Keedwell (SR Keedwell Holdings) 53,375 44,646 19.6 7 45 Maxi Haulage 75,457 63,178 19.4 8 56 Lomas Distribution 53,168 45,101 17.9 9 43 Woodside Logistics Group 79,675 68,407 16.5 10 42 John G Russell 80,125 68,830 16.4 11 53 Boughey Distribution 62,684 54,930 14.1

A NEW SHADE OF GREEN 44 MotorTransport

Latest year Previous year Growth in Turnover Overall Company or trading name turnover turnover turnover growth rank (£000s) (£000s) (%) rank 12 52 Lenham Storage Group 62,835 56,400 11.4 13 46 GBA Logistics 75,023 69,441 8.0 14 47 Reed Boardall Group 74,180 69,851 6.2 15 44 Cold Fell Group (ECM Vehicle Delivery Service) 78,139 74,011 5.6 16 50 Abbey Logistics Group 67,525 64,384 4.9 17 54 Pickfords Move Management 60,319 58,103 3.8 18 57 Solstor UK 51,666 50,280 2.8 19 51 Currie International 65,930 65,715 0.3 £30m - £50m turnover 1 65 McCulla Holdings 44,334 32,729 35.5 E T Holdings (Evans Transport 46,444 34,833 33.3 2 62 and Seymour Transport) 3 79 Goldstar Heathrow 34,000 26,309 29.2 4 82 Brit European Transport 32,575 25,421 28.1 5 74 WS Specialist Logistics 38,676 30,576 26.5 6 67 McPherson 43,753 34,771 25.8 7 60 Buffaload Logistics 48,122 38,302 25.6 8 75 Neill & Brown Global Logistics Group 37,715 30,324 24.4 9 86 EM Rogers (Transport) 30,134 24,519 22.9 10 83 Ascott Transport 32,067 26,456 21.2 11 66 Lloyd Fraser Holdings 43,996 36,483 20.6 12 72 H Sivyer Transport 40,956 35,172 16.4 13 85 Fagan & Whalley 30,938 26,644 16.1 14 80 The Bartrum Group 33,216 28,766 15.5 15 61 Lineage UK Transport 47,887 41,685 14.9 16 81 Elddis Transport (Consett) 32,741 28,778 13.8 17 63 Expect Distribution 46,004 40,606 13.3 18 59 S J Bargh Group 49,017 44,997 8.9 19 71 T J Transport Group Holdings 41,189 38,018 8.3 20 69 Master Removers Group 2019 41,617 38,530 8.0 21 68 Americold Whitchurch 41,877 38,975 7.4 Newell & Wright Transport 31,036 29,063 6.8 22 84 Contractors (Sheffield) 23 76 WM Armstrong (Longtown) 35,202 33,303 5.7 24 70 Freightroute 41,535 39,667 4.7 25 73 Countrywide Freight Group 39,095 38,028 2.8 26 77 Montgomery Transport 35,175 34,623 1.6 27 78 Fred Sherwood & Sons (Transport) 34,123 33,801 1.0 28 64 Meachers Global Logistics 45,833 55,283 -17.1 £20m - £30m turnover 1 99 Peter Green Haulage 25,771 19,897 29.5 2 91 J W Suckling Transport 27,269 21,103 29.2 CMA CGM Inland Services UK 25,939 20,348 27.5 3 98 (formerly Containerships Land) 4 88 Chris Hayter Transport 29,293 23,798 23.1 5 92 Woodland Logistics 26,733 22,174 20.6 6 93 Hayton Coulthard Transport 26,570 22,052 20.5 7 100 George Walker Transport 25,764 22,467 14.7 8 89 Archbold Logistics 28,628 25,036 14.3 9 95 Carlson Vehicle Transfer 26,431 23,218 13.8 10 97 Arcese UK 26,197 23,709 10.5 11 90 TP Niven 28,627 26,428 8.3 12 87 BP Mitchell Haulage Contractors 29,346 28,448 3.2 13 94 Stan Robinson Group 26,551 25,856 2.7 14 96 MDS Distribution Ltd 26,403 29,396 -10.2

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GROWTH IN PROFIT Latest year Previous year Growth Profit Overall Company or trading name pre-tax profit pre-tax profit in profit growth rank (£000s) (£000s) (%) rank £500m-plus turnover 1 12 Yodel 25,621 -32,764 178.2 2 4 Culina Group 85,272 46,757 82.4 3 5 GXO Logistics 65,467 46,604 40.5 4 14 Turners (Soham) Holdings 85,723 62,350 37.5 5 13 FedEx Corporation 37,931 28,528 33.0 6 15 Gist 34,166 32,952 3.7 7 3 DPD 306,346 337,771 -9.3 8 6 Hermes Parcelnet (Evri) 117,331 130,204 -9.9 9 9 UPS 91,204 117,960 -22.7 10 7 Wincanton 38,200 54,800 -30.3 11 2 DHL 108,742 217,761 -50.1 12 11 XPO Logistics 3,513 7,881 -55.4 13 8 Menzies Distribution Group 3,500 13,500 -74.1 14 10 Whistl UK -2,113 4,212 -150.2 15 1 Royal Mail (IDS, UK operations) -436,000 377,000 -215.6 £100m - £500m turnover 1 22 Kuehne + Nagel 102,821 -70,020 246.8 2 23 Europa Worldwide Group 10,110 3,652 176.8 3 34 EV Downton 2,007 -7,027 128.6 4 29 McBurney Transport Group 18,961 11,517 64.6 5 17 DX Group 17,400 10,600 64.2 6 30 Pentalver 17,810 11,119 60.2 7 16 Maritime Transport 40,144 28,330 41.7 8 24 W H Malcolm 11,453 8,192 39.8 9 39 Panther Warehousing 18,781 14,507 29.5 10 20 Yusen Logistics (UK) 8,760 6,806 28.7 11 28 Langdon Group 8,507 6,776 25.5 12 31 Gefco UK 11,758 9,510 23.6 13 21 Gregory Distribution (Holdings) 11,917 11,032 8.0 14 38 Owens (Road Services) 5,846 6,154 -5.0 15 37 Suttons Tankers 2,166 2,285 -5.2 16 25 DSV Road 13,305 14,369 -7.4 17 36 Howard Tenens 16,140 20,943 -22.9 18 26 Kinaxia 1,820 3,269 -44.3 19 32 Hoyer Gas & Petroleum Logistics -2,198 -1,496 -46.9 20 35 FreshLinc Group 1,251 2,445 -48.8 21 33 BCA Automotive -8,570 -5,497 -55.9 22 19 GXO Logistics UK II (formerly Clipper) -25,898 26,731 -196.9 23 27 Movianto UK -5,835 4,823 -221.0 24 18 Ceva Logistics -5,421.0 287 -1,988.9 £50m - £100m turnover 1 49 Moran Logistics 1,807 3 60,133.3 2 53 Boughey Distribution 942 -493 291.1 3 51 Currie International 1,344 -792 269.7 4 41 Kammac 19,606 7,499 161.4 5 45 Maxi Haulage 3,622 2,163 67.5 6 57 Solstor UK 1,801 1,494 20.5 7 42 John G Russell 8,783 7,827 12.2 8 48 R Swain & Sons 817 763 7.1 9 58 Knowles Logistics 1,141 1,074 6.2 10 43 Woodside Logistics Group 5,216 5,509 -5.3 11 55 RT Keedwell (SR Keedwell Holdings) 3,599 4,315 -16.6

Latest year Previous Growth Profit Overall Company or trading name pre-tax profit year pre-tax in profit growth rank (£000s) profit (£000s) (%) rank 12 56 Lomas Distribution 1,308 1,618 -19.2 13 52 Lenham Storage Group 2,658 3,423 -22.3 14 40 Advanced Supply Chain Group 2,237 3,098 -27.8 15 54 Pickfords Move Management 3,048 4,507 -32.4 16 50 Abbey Logistics Group 1,696 2,765 -38.7 17 44 Cold Fell Group (ECM Vehicle Delivery Service) -380 -268 -41.8 18 46 GBA Logistics 971 2,084 -53.4 19 47 Reed Boardall Group -4,113 705 -683.4 £30m - £50m turnover 1 82 Brit European Transport 405 -91 545.1 2 61 Lineage UK Transport 714 -1,267 156.4 3 84 Newell & Wright Transport Contractors (Sheffield) 382 -739 151.7 4 65 McCulla Holdings 5,081 3,141 61.8 5 76 WM Armstrong (Longtown) 710 479 48.2 6 73 Countrywide Freight Group 2,013 1,367 47.3 7 83 Ascott Transport 1,009 749 34.7 8 74 WS Specialist Logistics 1,535 1,159 32.4 9 75 Neill & Brown Global Logistics Group 3,217 2,708 18.8 10 67 McPherson 3,348 2,841 17.8 11 86 EM Rogers (Transport) 1,893 1,611 17.5 12 80 The Bartrum Group 2,930 2,581 13.5 13 79 Goldstar Heathrow 3,002 2,800 7.2 14 60 Buffaload Logistics 2,136 2,052 4.1 15 78 Fred Sherwood & Sons (Transport) 772 742 4.0 16 69 Master Removers Group 2019 3,903 4,163 -6.2 17 64 Meachers Global Logistics 4,484 5,000 -10.3 E T Holdings (Evans Transport 2,499 3,376 -26.0 18 62 and Seymour Transport) 19 77 Montgomery Transport 1,692 2,418 -30.0 20 59 S J Bargh Group 1,210 1,792 -32.5 21 81 Elddis Transport (Consett) 683 1,161 -41.2 22 63 Expect Distribution 3,774 7,523 -49.8 23 72 H Sivyer Transport 751 1,564 -52.0 24 66 Lloyd Fraser Holdings 670 1,652 -59.4 25 85 Fagan & Whalley 468 1,465 -68.1 26 70 Freightroute -70 1,405 -105.0 27 71 T J Transport Group Holdings -198 1,086 -118.2 28 68 Americold Whitchurch -69,377 4,029 -1,821.9 £20m - £30m turnover 1 97 Arcese UK 2,464 629 291.7 2 91 J W Suckling Transport 1,428 664 115.1 3 100 George Walker Transport 2,791 1,321 111.3 4 93 Hayton Coulthard Transport 1,804 1,214 48.6 5 87 BP Mitchell Haulage Contractors 9,680 7,531 28.5 6 88 Chris Hayter Transport 2,087 1,723 21.1 7 95 Carlson Vehicle Transfer -2,618 -2,780 5.8 CMA CGM Inland Services UK 615 609 1.0 8 98 (formerly Containerships Land) 9 89 Archbold Logistics 1,372 1,719 -20.2 10 99 Peter Green Haulage 1,495 1,939 -22.9 11 94 Stan Robinson Group 1,411 2,270 -37.8 12 90 TP Niven 75 359 -79.1 13 92 Woodland Logistics -223 1,325 -116.8 14 96 MDS Distribution Ltd -545 207 -363.3 ➜ 46

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MotorTransport 45


RETURN ON CAPITAL EMPLOYED ROCE Overall Company or trading name rank rank £500m-plus turnover 1 3 DPD 2 6 Hermes Parcelnet (Evri) 3 12 Yodel 4 15 Gist 5 7 Wincanton 6 14 Turners (Soham) Holdings 7 9 UPS 8 5 GXO Logistics 9 4 Culina Group 10 2 DHL 11 8 Menzies Distribution Group 12 13 FedEx Corporation 13 11 XPO Logistics 14 10 Whistl UK 15 1 Royal Mail (IDS, UK operations) £100m - £500m turnover 1 22 Kuehne + Nagel 2 39 Panther Warehousing 3 23 Europa Worldwide Group 4 29 McBurney Transport Group 5 31 Gefco UK 6 16 Maritime Transport 7 25 DSV Road 8 38 Owens (Road Services) 9 17 DX Group 10 28 Langdon Group 11 30 Pentalver 12 26 Kinaxia 13 24 W H Malcolm 14 35 FreshLinc Group 15 21 Gregory Distribution (Holdings) 16 20 Yusen Logistics (UK) 17 36 Howard Tenens 18 37 Suttons Tankers 19 34 EV Downton 20 18 Ceva Logistics 21 32 Hoyer Gas & Petroleum Logistics 22 19 GXO Logistics UK II (formerly Clipper) 23 33 BCA Automotive 24 27 Movianto UK £50m - £100m turnover 1 41 Kammac 2 50 Abbey Logistics Group 3 54 Pickfords Move Management 4 40 Advanced Supply Chain Group 5 45 Maxi Haulage 6 42 John G Russell 7 51 Currie International 8 57 Solstor UK 9 49 Moran Logistics 10 43 Woodside Logistics Group 11 55 RT Keedwell (SR Keedwell Holdings) 12 46 GBA Logistics

MORE SUSTAINABLE MORE EFFICIENT MORE COMPETITIVE

46 MotorTransport

Latest year Latest year Latest operating capital employed year ROCE profit (£000s) (£000s) (%) 332,346 135,075 32,844 34,389 46,900 84,459 91,207 81,129 129,432 106,224 14,200 38,416 9,655 -1,762 -419,000

874,696 377,567 121,972 181,838 278,800 520,193 609,569 573,062 1,002,724 1,157,353 205,700 566,223 256,921 35,568 6,213,000

38.0 35.8 26.9 18.9 16.8 16.2 15.0 14.2 12.9 9.2 6.9 6.8 3.8 -5.0 -6.7

118,675 18,679 11,381 19,380 12,600 41,590 16,141 6,550 22,100 8,552 21,159 13,241 12,756 1,567 14,070 9,540 15,563 3,443 2,669 -2,713 -3,166 -19,987 -8,508 -5,467

150,047 45,581 38,445 69,661 48,674 181,080 88,721 40,859 142,000 65,398 180,253 114,388 112,308 14,340 129,785 93,188 166,441 39,716 32,851 71,314 37,989 173,195 32,298 19,452

79.1 41.0 29.6 27.8 25.9 23.0 18.2 16.0 15.6 13.1 11.7 11.6 11.4 10.9 10.8 10.2 9.4 8.7 8.1 -3.8 -8.3 -11.5 -26.3 -28.1

19,754 2,261 3,048 2,699 3,556 9,189 643 1,763 2,038 5,384 3,603 1,317

17,178 6,712 9,367 13,838 21,978 58,742 4,191 11,746 14,118 45,634 31,310 12,855

115.0 33.7 32.5 19.5 16.2 15.6 15.3 15.0 14.4 11.8 11.5 10.2

ROCE Overall Company or trading name rank rank 13 14 15 16 17

52 56 48 53 58

Lenham Storage Group Lomas Distribution R Swain & Sons Boughey Distribution Knowles Logistics Cold Fell Group (ECM 18 44 Vehicle Delivery Service) 19 47 Reed Boardall Group £30m - £50m turnover 1 63 Expect Distribution 2 61 Lineage UK Transport 3 64 Meachers Global Logistics 4 74 WS Specialist Logistics 5 60 Buffaload Logistics 6 75 Neill & Brown Global Logistics Group 7 86 EM Rogers (Transport) 8 79 Goldstar Heathrow 9 65 McCulla Holdings 10 73 Countrywide Freight Group 11 69 Master Removers Group 2019 Newell & Wright Transport 12 84 Contractors (Sheffield) 13 80 The Bartrum Group 14 83 Ascott Transport 15 76 WM Armstrong (Longtown) 16 67 McPherson 17 72 H Sivyer Transport E T Holdings (Evans Transport 18 62 and Seymour Transport) 19 68 Americold Whitchurch 20 82 Brit European Transport 21 78 Fred Sherwood & Sons (Transport) 22 66 Lloyd Fraser Holdings 23 81 Elddis Transport (Consett) 24 59 S J Bargh Group 25 77 Montgomery Transport 26 85 Fagan & Whalley 27 71 T J Transport Group Holdings 28 70 Freightroute £20m - £30m turnover 1 100 George Walker Transport 2 97 Arcese UK CMA CGM Inland Services UK 3 98 (formerly Containerships Land) 4 87 BP Mitchell Haulage Contractors 5 88 Chris Hayter Transport 6 93 Hayton Coulthard Transport 7 99 Peter Green Haulage 8 89 Archbold Logistics 9 91 J W Suckling Transport 10 94 Stan Robinson Group 11 90 TP Niven 12 92 Woodland Logistics 13 96 MDS Distribution Ltd 14 95 Carlson Vehicle Transfer

Latest year Latest year Latest operating capital employed year ROCE profit (£000s) (£000s) (%) 2,896 36,485 7.9 3,912 52,755 7.4 1,691 32,289 5.2 2,267 54,120 4.2 1,577 47,773 3.3 -397

20,879

-1.9

-3,911

71,312

-5.5

5,025 1,306 4,356 2,070 2,493 3,255 1,878 3,213 5,387 2,096 4,328

4,952 2,496 15,897 8,049 9,801 13,366 8,295 15,574 27,881 10,980 24,763

101.5 52.3 27.4 25.7 25.4 24.4 22.6 20.6 19.3 19.1 17.5

641

3,939

16.3

3,053 1,256 935 3,344 871

18,924 8,288 6,604 29,450 7,915

16.1 15.2 14.2 11.4 11.0

2,633

27,755

9.5

1,147 630 993 772 914 1,318 1,517 594 46 50

15,619 9,117 14,826 13,383 17,347 26,009 31,520 14,054 9,072 15,049

7.3 6.9 6.7 5.8 5.3 5.1 4.8 4.2 0.5 0.3

2,974 1,627

7,266 5,092

40.9 32.0

607

2,387

25.4

9,666 2,107 1,877 1,554 1,439 1,461 1,460 259 180 -324 -2,514

38,429 8,882 8,620 10,335 10,522 11,225 18,105 6,855 13,245 4,364 10,071

25.2 23.7 21.8 15.0 13.7 13.0 8.1 3.8 1.4 -7.4 -25.0

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The MT Top 100 explained The rankings were finalised using information available as of 23 October 2023. The data was compiled from accounts filed at Companies House. The table lists the company in regard to its official registered name at Companies House, which is not always the same as the company’s trading name. As far as possible we have used turnover figures generated solely or primarily from UK road transport and warehousing activities, unless otherwise stated below. Employee figures are predominantly those employed solely or primarily in the UK. Return on capital employed has been calculated as operating profit divided by the sum of total assets minus current liabilities, expressed as a percentage. Minus signs (-) have been changed in the profit growth table so they always mean worse. For example, Carlson Vehicle Transfer made a smaller loss in 2022 than in 2021. The calculation gives a growth figure of -5.8% (because the loss is smaller). But because the column is called ‘Profit Growth’, intuitively that seems wrong. Consequently, we have changed the sign to 5.8% to reflect the fact that it is actually better. Advanced Supply Chain: figures reflect the performance of Advanced Supply Chain Group, excluding the results of its Advanced Forwarding international freight forwarding business. 2021 figures are for 13 months. BCA Automotive: comprises Walon, Paragon Automotive Logistics and Sensible Automotive, which are all subsidiaries of BCA Marketplace. Culina Group: comprises Culina Logistics, Eddie Stobart Logistics, Great Bear Distribution, Integrated Packing Services, Morgan McLernon, CML F&L (Telford), Fowler Welch, iForce, and Warrens Warehousing & Distribution (Midlands). DHL: comprises DHL Supply Chain, DHL Parcel UK, Tradeteam, DHL International UK, and Exel UK. The company is consolidating logistics contracts into DHL Supply Chain as they are renewed from Exel. Employees in DHL Supply Chain and Exel are employed through DHL Services. DHL’s freight forwarding business is excluded from our figures. DPD: comprises DPDgroup UK and DPDLocal (formerly Interlink Express). The pre-tax profit figure has been adjusted to reflect a £90m dividend paid by DPDlocal to DPDgroup. FedEx: comprises FedEx UK and FedEx UK Transportation Ltd (formerly TNT UK). Gefco: sold to CMA CGM by former parent RZD (Russian Railways) in July 2022, and has been incorporated into Ceva Logistics. The two are included separately in the main table. The impact of the takeover is shown in a separate table. Gist: acquired by Marks & Spencer in July 2022. GXO Logistics: created when XPO spun off its contract logistics business in August 2021. GXO Logistics UK II is the new name for Clipper Logistics, which became part of GXO in June 2022. 2022 figures are for eight months. We have shown the two separately in the main table, while the impact of the takeover is shown in a separate table. Kinaxia: the main entry is for Kinaxia Ltd. We have included a separate table to show the figures for the constituent companies. The AKW Global Warehousing business has been renamed Kinaxia Logistics & Fulfilment. Knowles Logistics: new name for Knowles

A NEW SHADE OF GREEN 20.11.23

Transport following the acquisition of Masters Logistical Services in October 2022. Kuehne+Nagel: for 2021, turnover is derived from its contract logistics business (as reported by Kuehne + Nagel Ltd). Turnover from its freight forwarding business is excluded to reflect the domestic road freight related contributions to the business. However, as K+N does not split the two divisions into legal entities, we were unable to break down pre-tax profit, capital employed and employee numbers in the same way. Therefore profit and employee figures include the international freight forwarding business. Lenham Storage: comprises Lenham Storage and Lenham Storage Southern. McBurney Holdings: comprises McBurney Transport and Bondelivery Northern Ireland.

Pentalver: comprises Pentalver Transport and Pentalver Cannock. Royal Mail: Parent company renamed International Distribution Services. It only gives return on capital figures for the whole group, not just UK operations. Parcels accounted for £3.9bn of domestic revenue in the year to March 2023, while letters accounted for £3.5bn. GLS, the international parcels business, accounted for £4.6bn of revenue. XPO: comprises XPO Transport Solutions UK and XPO Bulk UK. We have excluded XPO Global Forwarding and XPO Maintenance UK to reflect turnover and profit derived from domestic road freight. Yodel: comprises Yodel Delivery Network and Arrow XL. Accounting period extended from 30 June 2022 to 31 December 2022.

CEVA LOGISTICS (showing Gefco acquisition)

GXO

Turnover Pre-tax profit (£000s) (£000s) Ceva Logistics 407,182 -5,421 Gefco UK 139,284 11,758 Total 546,466 6,337 Figures for Gefco are for 12 months to 31/12/21 Year to 31/12/2022

CULINA GROUP Year to 31/12/2022

Turnover Pre-tax profit (£000s) (£000s) 591,186 3,317 398,820 42,052 241,781 17,674 200,978 12,409 132,669 3,343 67,527 -339

Eddie Stobart Ltd Great Bear Distribution Culina Logistics Fowler Welch Iforce Ltd Morgan McLernon Warrens Warehousing & 58,714 2,231 Distribution (Midlands) CML F&L (Telford) 70,103 2,171 Integrated Packing Services 55,519 2,414 Total 1,817,297 85,272 Figures for Eddie Stobart are for 13 months to 31/12/2021. Figures for Morgan McLernon, Warrens & IPS are for 12 months to 31/12/2021. Figures for Iforce are for 52 weeks to 02/01/23

Turnover Pre-tax profit (£000s) (£000s) GXO Logistics UK 1,504,963 65,467 GXO Logistics UK II (Clipper) 402,291 -25,898 Total 1,907,254 39,569 Figures for GXO Logistics are for 12 months to 31/12/2021. Figures for GXO Logistics UK Il are for 8 months to 31/12/2022 Year to 31/12/2021

KINAXIA Year to 31/12/2022 AJ Maiden and Son William Kirk Bay Freight Foulger Transport Lambert Brothers Haulage Mark Thompson Transport Panic Transport (Contracts) NC Cammack & Son AKW Global Logistics Kinaxia Logistics & Fulfilment Fresh Freight David Hathaway Transport Total

Turnover Pre-tax profit (£000s) (£000s) 12,736 156 8,625 95 9,974 71 19,580 362 12,201 222 37,673 44 21,665 304 10,576 638 16,469 466 22,177 1,205 22,747 135 18,901 202 213,324 3,900

Support your sustainability with regroove and retread tyres MotorTransport 47


MT Awards 2023 winner profile Best Use of Technology Award

Sweeping changes With the help of its technology partner, JM Clark has made a seamless transition from paper-based processes to a digital system

W

hat do you do when your fast-growing firm is being held back by outmoded paper-based and manual processes? That was a dilemma facing road sweeper hire and cleaning services firm JM Clark, a young, dynamic company that has seen rapid growth since its launch in 2012, building a prestigious customer base that includes major clients in the construction, highways and road surfacing sectors. Its 50-strong fleet of road sweepers have supported some of the UK’s biggest events, such as the Virgin London Marathon and The Lord Major’s show, as well as major construction projects including the Battersea Power Station, Tottenham FC and Ashford Designer Outlet projects and substantial road infrastructure contracts across the UK. Not surprisingly, thanks to its rapid expansion, by 2022 the Kent-based company had outgrown its original manual and paper-based systems, with staff struggling to deal with extensive invoicing turnaround times, cash-flow challenges and complicated manual route planning. JM Clark MD Martin Clark recalls a creaking system that was fast becoming a processing nightmare. He says: “It was very time consuming. In addition to the actual process of logging the bookings, referring back to 48 MotorTransport

completed jobs and finding specific data was difficult and convoluted. “As the team got bigger and more enquiries came in, it was becoming increasingly difficult to effectively work together on the same book. “Day-to-day, when enquiries came in, we’d make a note of them in the book including any relevant information such as time, hours on site, price and so on. From there we’d have to text our drivers with all the info and let them crack on. There’d then be the issue of books taking up space in the office, with files upon files filling the storage facilities.”

Digital switch

It was clear the company needed a more efficient, paperless solution to support its operations and so the company embarked on finding a tech partner that could help it transition to a digital system. JM Clark’s first step was to make a wish list of what it wanted. Top of its priorities was a system that would reduce the time spent on route planning, cut invoicing turnaround time and improve cash flow. Two other key requirements were for a system that would increase overall operational efficiency and reduce its paper-based processes. 20.11.23


Partnered with

The next all-important step was to choose the right partner – easier said than done when faced with an increasingly crowded tech and fleet management market. Fortunately the company’s research into the sector led them to Omnia Smart Technologies and its AIOne solution, a fleet management system that uses artificial intelligence (AI) and the internet of things (IoT) to help businesses become more efficient, cost effective and agile. The system is designed to create bespoke solutions, taking into account all aspects of an operation and applicable to any logistics environment, including jobs, assets, vehicles, people, and hardware and software. Omnia came to JM Clark’s attention after receiving positive reports from others. The company was also impressed by its finely tuned, bespoke approach. Clark says: “We did have a look around, but our sights were firmly set on Omnia. Their adaptable approach and ability to work together to mould the system around our needs was a key contributor in our decision making. After having a conversation with them and what we wanted out of the service, it was a no-brainer. “Omnia has helped to streamline our operations, providing an easy-to-use portal with everything we need. They also look to assist in route optimisation, helping our drivers to get to jobs on time benefitting everyone involved, with the driver taking the most direct route, the customer getting our driver there quickly, and the company benefitting from reduced fuel costs. Win, win, win!”

More than just technology

Omnia sales executive Mike Stewart, who worked closely with JM Clark on the project, says the technology firm prides itself in going to great lengths to provide a personalised, client-centric approach for its customers. “We feel that what truly sets us apart is our dedication to understanding our customers’ daily challenges and operational nuances. We don’t just offer a technology plaster; we provide solutions designed with our customers in mind first, not just the technology itself,” he explains. To this end, Omnia harnessed its fleet management expertise to create a bespoke AIOne dynamic route optimisation and workflow management solution for JM Clark, which has eliminated the company’s expensive and time-consuming paper-based processes and streamlined its operations. The solution leaves no stone unturned, offering a comprehensive planning and scheduling tool, driver app, electronic proof of delivery, digital job and customer creation and management, and a control room environment giving full visibility and control of live and historic data. The technology is finely tuned to JM Clark’s specific needs, allowing for customised job and customer creation and management, ensuring that the routing algorithm considers its specific customer requirements, and providing the ability to remove and allocate jobs to drivers throughout the day. Bedding in new technology can be a challenge, but implementation of the digitised system was delivered seamlessly, Stewart proudly recalls. “The project officially kicked off in September 2022. Through our implementation and configuration methodologies, with a focus on comprehensive training and clear communication, we were able to tailor and adapt the solution, roll out customised workflows, and start generating a ROI within a month. 20.11.23

“The JM Clark team’s active engagement and commitment to success were instrumental in this quick turnaround,” he says, adding that as part of its after-sales package Omnia continues to work with all its customers to ensure the system evolves in line with their requirements. Staff took to the new systems like ducks to water, Stewart adds. “It took just four weeks from the first day of training until the JM Clark team, including the drivers, were running with the system completely on their own.” He praised the dedication of the JM Clark team. “Change is always a challenge, but JM Clark’s commitment to moving away from paper and streamlining their business enabled us to embed the system quickly and effectively.” Clark says the team were partly incentivised by the prospect of ridding the business of its cumbersome and frustrating paper-based processes. He adds: “We’re blessed to have a great, young, dynamic workforce who are always on the lookout for improving productivity. Everyone was open to developing the way we worked, especially considering all the problems involved with the way we operated at the time. “The system is very user-interface-friendly, so the team quickly picked up on how to effectively use it and log information. “Drivers have welcomed the system as well, removing the need for unnecessary time-consuming communications, and centralising all required information in a single portal.” The benefits of the AIOne system to the business are clear. The system’s faster and more efficient processing of invoices has delivered a marked improvement in cash flow by reducing the company’s invoicing turnaround time from three weeks to just one day. At the same time, with the AI-based route optimisation algorithms delivering the most cost-effective routes, time spent on route planning has been slashed from five hours to just 30 minutes a day, which has not only improved the firm’s bottom line but also reduced its environmental impact.

Lowering emissions

Clark says the digitised route optimisation solution has made a dramatic impact on cutting the fleet’s fuel costs and CO2 emissions. “Our drivers are able to take the most direct route and with over 50 vehicles in our fleet it’s definitely made a difference,” he explains. JM Clark’s customers are also enjoying the benefits of its digital transformation, with Clark proudly pointing out its “excellent” rating on TrustPilot. He says: “Everything is a lot more organised. If a customer has a question about a booking, we’re able to pull that information up almost instantaneously. “It’s all about simplifying tasks whilst maintaining a high degree of workmanship, AI has removed a lot of the mundane tasks and focus on the human input, helping to reduce the chances of mistakes occurring.” Perhaps the last word should go to the judges who voted JM Clark this year’s worthy winner of Motor Transport’s Best Use of Technology Award. They praised the company for choosing “tailor-made technology to overcome problems, reduce costs and step away from more manual processes”. They add: “For software to have such an impact on a business is a rare thing in this modern age. JM Clark and its supplier have taken the best of what is on offer and transformed operations as a result.” ■ MotorTransport 49


MT Awards 2023 winner profile Low Carbon Award

On a mission to reach net zero Speedy Services is committed to achieving its net zero targets by 2040, and is actively helping its customers and suppliers to lower their emissions

50 MotorTransport

I

n early 2022 the Speedy Services team met up for an innovation meeting at a location overlooking the Thames to discuss their carbon-cutting strategy. As they watched the Thames meander by, the team had a light bulb moment. Fleet director Aaron Powell recalls: “We thought ‘Why can’t we move our freight up the Thames by boat? No road works, no emission zones, no HGV exclusion zones, zero pollution’. If we delivered and collected our freight to and from the landing dock locations we could remove congestion and driver stress on London’s roads.” This level of inspired thinking demonstrates how immersed the Speedy team is in cutting the company’s carbon emissions as part of its commitment to reach net zero by 2040. The company’s rapid response to the suggestion also demonstrates its total commitment. By February, Speedy had launched a four-week trial, in collaboration with Thames Clipper Logistics (TCL) and Cross River Partnership. The trial became part of the Cross River Partnership’s Defra-funded Clean Air Logistics for London project, which aims to move more freight into London by river, supported by zero emission last mile delivery methods in Central London. During the trial, Speedy used electric trucks to move goods from its Erith distribution centre to the Port of London’s Dartford International Ferry Terminal. From there the goods were loaded onto an HVO-powered Thames Clipper Logistics vessel and transported at high speed to Bankside Pier.

The caged goods were then taken by Speedy’s electric fleet to its central London depot in Southwark. By the second week the company had added its London Docklands and Greenwich depots to the trial, which resulted in taking four diesel trucks off London’s roads. Return deliveries were also included in the pilot, with Speedy’s goods that were coming off-hire collected at each pier location and returned to the Dartford pier the following morning, where they were picked up by electric trucks and taken to the Erith distribution centre for inspection and maintenance. The trial was a success and the company is now in discussions with Thames Clipper Logistics to launch a permanent river transport operation. This will cut even more carbon by using TCL’s new electric-powered vessel, which is set to enter service this month. This carbon-cutting initiative is just one of Speedy’s many sustainable projects that impressed the judges at this year’s Motor Transport Awards, winning the company the coveted Low Carbon Award.

Leading on emissions targets

Speedy launched its ambitious net zero programme in 2021, making it the first plant hire company in the UK to publicly commit to net zero carbon emissions by 2050 using science-based targets. A year later, true to its name, the company accelerated that target to 2040, ten years ahead of the government’s net zero target. The programme aims to reduce Scope 1 and 2 emissions by 50% and Scope 3 emissions by 42% by 2030, focusing on Speedy’s vehicle fleet, real estate and supply chain. In addition, full carbon reporting, included in Scope 3, will identify opportunities through product innovation and supply chain management to reduce whole lifecycle carbon and costs. Under the programme, Speedy is not only committed to decarbonising its fleet, property network, tools and equipment, but is dedicated to helping its clients and suppliers achieve their net zero targets, and in setting a positive example to other hire companies. The company is uniquely placed to lead by example, particularly in the construction sector, where it works with almost 90% of the UK’s major construction contractors and has myriad suppliers. With over 200 service centres and more than 1,000 vehicles, Speedy’s reach is significant. As ESG director Amelia Woodley explains: “Our aim is that every project, big or small, that involves the hire 20.11.23


Partnered with

of our equipment or the utilisation of our services will be sustainable. We want to ensure that both our products and logistical operations are designed to drive down carbon, through developing new technologies and processes with our suppliers.”

Expert support

To support it in achieving its ambitious net zero target, the business has also teamed up with integrated engineering design, energy and sustainability consultancy Hydrock. The consultancy works closely with Speedy’s specialist ESG team, led by Woodley, whose importance to the company is reflected in her role as an executive director on the board. As a carbon management specialist, Hydrock helps Speedy to manage, record and verify its carbon footprint claims to ensure it hits its decarbonisation targets and makes the changes required to achieve verified greenhouse gas standards. It also assesses the sustainability of Speedy’s products and the company’s environmental impact, as well as the impact of projects involving hire of the company’s equipment. The consultancy works with Speedy’s ESG team to educate staff on sustainability targets and leads clientfacing meetings when discussing net zero. Helping its customers and clients to embark on their net zero journeys is clearly important to the company, which is almost evangelical in its commitment to spreading the word. At the company’s Speedy Expo event last year, Woodley and her team of ESG experts joined forces with Hydrock to promote the benefits of decarbonisation to staff, customers and sub-contractors. They presented a session entitled Leading Net Zero to Win Major Contracts, aimed at helping Speedy’s clients cut their carbon emissions and win new business. Aimed at suppliers and customers, and hosted in partnership with Hydrock, the first Speedy Live Net Zero 23 webinar will take place on 29 November. The panel will discuss Speedy’s net zero strategy and explain how the company plans to help its customers and suppliers meet their own sustainability targets. Speedy is also setting the pace in transforming its estate of over 200 hire centres. In March, the company launched its second sustainable hire centre in Leeds, based on its Milton Keynes carbon-negative innovation and hire centre, which opened in November 2021. The Leeds site supplies a range of zero-emission construction equipment, delivered by the company’s fleet of electric and HVO-powered vehicles. It is powered by 670 solar panels and uses bespoke energy-efficient lighting and climate-control technology. 20.11.23

The centre is also home to a well-being and wildflower garden, an 18m living wall and beehives made from repurposed hard hats. The site uses furniture – from desks to garden benches – made from recycled materials to help further lower its environmental impact. Electric vehicle charging points are being installed across Speedy’s network of service centres for colleague and customer use. Another initiative at the heart of Speedy’s journey to net zero is the transformation of its fleet, along with moves to decarbonise its subcontractors’ vehicles. Powell explains: “One of Speedy’s latest initiatives also aims to help contractors reduce their supply chain emissions through zero carbon equipment delivery and by running the heavy fleet on HVO while delivering HVO to our customers.” Speedy is also upgrading its fleet with 100 4.25-tonne single chassis cab Ford E-Transit models and 50 3.5-tonne E-Transit vans, which will be distributed across its UK-wide network to replace diesel vehicles. Many of the new vehicles are already in use, with 40 of the 50 vans entering service in July, and the remaining 110 units are set to arrive this month. The carbon saving made by the switch is estimated to be the equivalent of that absorbed by 7,700 trees per year. The £8.25m investment will cut up to 1,280 tonnes of CO2 per year from Speedy’s commercial fleet emissions. It is a key step in the company’s plan for more than half of its 1,100-strong commercial fleet to be electric or hybrid by 2025, and to be fully low carbon by 2030.

FLEET UPGRADE: Speedy Services is investing significantly in a range of electric vehicles, as it aims to have a fully low-carbon fleet in place by 2030

Reducing mileage

Speedy is on a mission to reduce travel by company car and by grey fleet drivers, introducing an initiative this year which has produced a cost saving of well over 50% in recorded mileage claims, as well as cutting carbon emissions. Powell says: “The business is not just about cost cutting, but looking to cut the CO2 and unnecessary travel of all vehicles in our fleet. Speedy’s aim is to reduce commercial travel year on year.” He adds: “We are already operating eight fully electric commercial vehicles in central London – a 27-tonne HGV, two 7.5-tonne HGVs and five vans, with another 150 Ford E-Transits operating nationally. Speedy’s strategy is to replace over 60% of all commercials to fully electric by 2030 and for the remainder to run on HVO.” Speedy has also successfully supported its staff through the changes, says Powell. “Speedy staff have really embraced our carbon initiatives. We give our drivers electric vehicle training. There is always slight hesitance with anything new, but once they drive the vehicles they love them.” ■ MotorTransport 51







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