46% of UK’s lorry fleet parked up. RHA asks for immediate cash injection
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With around 46% of the UK fleet currently parked up, a number of firms are in danger of going out of business permanently, Richard Burnett, RHA chief executive on the BBC’s Today programme. Companies need immediate cash injections to stay afloat – he added.
Govt #covid19 loan scheme is not working for struggling businesses, @RHARichardB told @BBCr4today. Firms need immediate cash injections to stay afloat. Clip: https://t.co/zfccfH3wx5 #coronavirus pic.twitter.com/QJGDOBKr2V
— RHA News (@RHANews) April 7, 2020
Richard told Today that the haulage industry is one of several which has been hard hit by the ongoing coronavirus pandemic, but more needs to be done to keep haulage firms open so that they can continue to keep the UK economy moving.
With around 46% of the UK fleet currently parked up, a number of firms are in danger of going out of business permanently.
SME businesses are really struggling. The measures that the Government have come up with simply don’t work. An average haulier will make maybe 2% margin, they’ll have two to three weeks cashflow within their business. We’ve got hauliers at the moment who can’t even furlough their staff, because they have insufficient cash to pay those employees.” – Mr Burnett said. – “We need cash, we need grants, we need help to balance and normalize this cashflow problem, and the loan system simply doesn’t work at this point in time.”