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Logistics study urges government rethink

By: David Howells
30 March 2011

Despite the logistics business powering growth last year, experts have suggested that things need to change if this is to continue.

A report by LCP Consulting has called for radical changes to the freight transport policy in order to keep the growth on track. It suggested that the off-shoring of UK manufacturing and growth in global sourcing has distorted national statistics and to combat this a government policy needs to be put in place to ensure the growth continues.

The study into the logistics work trade suggests that greater measuring and recording of statistics will give a much clearer and more truthful impression of the industry and allow governments to regulate them more accurately.

"The network for freight and logistics that will enable it to contribute to reduce congestion and improve economic and environmental effectiveness is a much wider challenge than has been articulated," LCP Chairman Professor Alan Braithwaite told Logistics Manager.

"It involves complex interactions of capacity and flows. This has yet to be recognised in policy development partly because of deficiencies in the available data and modelling."

The report suggested that the logistics industry has driven economic growth throughout the years, not just during the most recent recession, and as a result needs to be addressed with due care and attention.

"Future freight and logistics development is unlikely to meet the goals for carbon reduction and economic performance unless positive policy actions are taken," Braithwaite told

"These will involve a combination of taxation to promote more efficient use of resources; regulation to drive more efficiently; safe, clean and fair operations; and planning processes that enable innovation and investment to deliver a step change."

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