More help to take freight off our roads
12th July 2008
Alan has secured vital reforms to the shipping grant system which will make it easier for companies in Southampton to access the Freight Facilities Grant, and confirmation of a £21 million budget for the grants over the next three years.
The Freight Facilities Grant helps companies meet the capital costs of handling freight so it can be transported via rail or by water, rather than by road. This can help reduce congestion and carbon emissions, however the setup costs for transporting freight in a different way can be prohibitive- which is why the government provides the grants.
Dr Whitehead met with local firms to discuss the problems they were experiencing with the grant system as it currently operates, and took their concerns to a meeting with Transport Minister Jim Fitzpatrick. Dr Whitehead then tabled a Parliamentary question on the subject:
To ask the Secretary of State for Transport, what plans she has to increase the availability and accessibility of the Freight Facilities Grant to potential applicants.
On behalf of the Secretary of State Mr Fitzpatrick answered on Thursday 10th July as follows:
The Department has recently announced a budget for the Freight Facilities Grant in the amount of £21 million over the next three years which should give potential applicants some assurance over the future availability of funding.
We will also shortly be running a campaign to publicise the FFG scheme to encourage more applications. A new leaflet has been produced, which will be mailshot to potential applicants and the new Freight Best Practice contract which was awarded to Faber Maunsel on 1 July 2008, will require them to market grants direct to businesses.
We are also looking at ways to simplify the application process—including a redesign of the application form to make it easier to use—to encourage more companies to apply for grants.
Dr Whitehead said:
“I am delighted that the Minister has pledged to make the simple changes which will make the Freight Facilities Grant system work more efficiently and effectively. The confirmation of a £21 million three-year budget for the grants is great news for Southampton shipping businesses, and a potential boost for the economy overall.”
The news comes in the wake of the recent government announcement that Southampton will receive £43 million to improve rail links at the docks, which will help take up to 1 million lorry journeys a year off of Southampton's roads.
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