The UK Government has used its new Brexit powers to amend Article 7 of EC1071; the rate of financial standing will be applied to the first and each additional vehicle in Sterling instead of Euros.
As a result of the change, the financial standing rates for standard operator licence holders will be lower than expected, say Logistics UK.
Govt announces financial standing rates for standard operator licence holders will be lower than expected from 1/1/21. Figures now fixed in UK legislation at £8000 for first vehicle, £4500 for each subsequent rather than fluctuating with exchange rate. https://t.co/TjfxfEMMNh
— Logistics UK (@LogisticsUKNews) December 31, 2020
The UK Government’s statement on the changes reads as follows:
The Licensing of Operators and International Road Haulage (Amendment etc.) (EU Exit) Regulations 2019 has used the power set out in the European Union Withdrawal Act 2018 to amend Article 7 of EC1071 so that the rate of financial standing to be applied to the first and each additional vehicle is set in Sterling instead of Euros.
This means that the previously advised 2021 financial standing levels for standard operator licence holders and applicants has changed.
The rates that will now come into effect on 1 January 2021 are:
1st vehicle: £8000 (previously advised as £8200)
Each additional vehicle: £4500 (previously £4550)