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The Treasury has suspended the HGV Road User Levy for a year to help hauliers recover from the impact of the Covid-19 pandemic.

The 12-month suspension, which was passed without consultation to speed up its implementation, kicks in on 1 August this year.

It applies to UK registered keepers of HGVs and drivers and HGV owners/operators from outside the UK accessing the UK road network.

Introduced in 2014, the levy applies to heavy goods vehicles of 12 tonnes or more. Its aim is to ensure HGV operators make a contribution to the wear and tear of the road network.

The levy amount varies according to the vehicle's weight, axle configuration and levy duration.

In 2016 the European Commission challenged the legality of the levy. It argued it fell foul of EU competition law because of the UK’s decision to effectively offset the payments for UK operators by a reducing vehicle excise duty (VED). The case is understood to be ongoing.