Sept 22nd for final mile, last mile of the year roundtable treat, thirteen weeks to Christmas. fellows free lunch, network and natter with a red-hot agenda, rich in current moments for our sector. A valued agenda of operational action.
Diesel pump price at two pounds, Employment Rights Act, yellow line parking in density, it was a powerhouse of content, current and operational events impacting for our sector. Fellows at Sept table were treated to a rich agenda of short, focused keynotes, experts covering key sector compliance with valued sector vision - Govt depts talking compliance from DVSA to City of Westminster, Westminster passion talking 1.1 million foot fall in 8sq miles competing for kerbside. Logistics policy from DVSA re-enforced weight benefit for batteries in derogation for 3.5 t small vans to 4.25t. Inspirational case study from woman in logistics final mile by four decade transport champion Jaqueline O’Donovan.
Value of IOC fellowship measured at its very best as the network and natter free lunch, diesel pump price at two pounds, fellows explored fuel surcharging and Crown Govt procurement. Engaging electric talk was positive.
Fellows concerns at the round table – Fuel cost!
IOC Chair Carl Lomas opened the agenda with a lap of the table, asking fellows key concerns. ‘Fuel topped the list. Fellows empathizing with drivers survival in a period of exploding costs.
‘Rising cost of fuel is driving couriers out of our sector.’ Fellows discussed fuel surcharge models, reality of brands dealing with fuel costs, ‘We are Hiding it’ . Contracts are being hit by dynamic change. Cost to serve! Fellows talked slack and asked who pays for our increases. Immigration got a strong position and some fellows mentioned Govt visits. Alternative fuel vehicle discussion focused on how niche the light category vehicles are, issues of availability, type approval, dealer supplier support.’
Heatwave hot weather fluid for final mile drivers balanced with toilet availability for our final mile drivers.
The price of diesel summary – Callum Macpherson Investec
Diesel at pump clears two pounds
‘Diesel values highest ever’
Callum Macpherson, derivatives expert from Investec expanded his weekly IOC Sunday email updates to a hands on table for an issue that is becoming ‘extremely serious.’
Diesel value is at the highest it has ever been. ‘200 dollars barrel’
OPEC+ Output struggling to deliver to markets.
There are so many dimensions to the issue, East West Pipeline news today is it is being turned back on, Suez is too narrow for the large tankers, getting crude out of Red Sea is a huge challenge. The crude you get out still needs refining. Add Russian refineries targeted by Ukraine to the dimension. Dilemma for consumers. If there is a solution, a turn of events may see diesel significantly cheaper in six months. A lens on airlines explained the hedging of fuel values. Taking that hedging vision to summer 2027 sees airline activity slow to hedge. The question we must ask is what happens if Trump loses the US mid-terms.
Melanie Stancliffe – Are you ready for Employment Rights Act?
‘October will see the biggest shake-up of right to work legislation in a decade.’
Shift notice is huge for Express logistics.
You must take reasonable steps to prevent all forms of harassment.
Immigration discussion, ‘you must prove you have checked right to work.
Unfair dismissal comes down from two years to six months.
Changes to zero hours. Many of you are using zero hours, it's flexible. Things are changing, In the future candidates will have a right of guaranteed hours.
Duty to provide reasonable notice of shifts and shift cancellations – this is huge, 1 to 4 weeks notice.
When did you last hold anti-harassment training and review? You must take reasonable steps to prevent all forms of harassment. You have to take all reasonable steps to prevent sexual harassment. What are reasonable steps? This will depends on size of business, scaled expectation between national brands nd SMEs. You must do a staff survey and look at your codes of conducts, state, ‘we do not tolerate harassment.’ Take reasonable steps to have done enough.
Melanie spoke immigration. ‘Proving Right to work’ Looking at experience of raids on depots, the definition of employer has changed. From 1st Oct you will have to prove right to work. You must prove check and challenge of employees, sub-contracts etc. Beware of fines, please take this one away and make sure you can prove you are doing right to work checks.
From 1st Oct expect an avalanche of tribunal claims. This will leave extra time to agree solutions.
Unfair dismissal was a two year period of employment, From 1st Jan we expect anyone to be able to claim unfair dismissal after six months.
You must negotiate well, beware of AI advice to individuals. Melanie finished on ‘Augustine v Data Cars’ – Supreme Court case study discussion.
DfT Consultation workshop at IOC Heads of Industry round table
IOC ask fellows –
‘what is your ask to engage in zero emission by 2035?’
A workshop of fellows delivered at the table for DfT. Lesley Broadwood ‘Office for zero emission’ slides – the crux, asking fellows what would shift them from diesel to zero emission electric vans? Lesley set fellows a score test on the IOC consultation answers so far.. Open to table fellows asked 'what is your ask to engage with EV?'
‘The business model to engage zero needs financial help, needs incentives.’
‘Customers motivation to pay for greener delivery is disappearing’
Fellows headline response at Sept Heads of Industry was introducing a Congestion Charge exemption for electric vehicles. 100% of members stated that this would be a viable option for helping to improve EV uptake.
Fellows comment on motivation to shift from diesel to EV
There is no choice for delivery to door. We have to use vehicles.
Don’t tax people to change behaviour. Don’t tax us to EV.
Congestion Charge in London has killed our EVs, ‘its stupidity’
We need Incentives not taxes.
Budget challenge exceeds operational challenge.
The biggest challenge is procurement of EV fleet, EV is more expensive than diesel!
Rates benefit to EV-focused depot would be very welcome.
Total cost of ownership for express with low mileage is cheaper with diesel.
Future promise must not be moveable, we need certainty, longevity of policy.
Safety of batteries and inflammables is important.
Lesley set fellows a score test question set...
Are there alternative ways to stimulating demand ?
1. Myth busting – particularly rare earth mineral impact on environment
2. The business model of whole life cost of EV vans is challenged
3. Cost of whole life- low mileage covered by urban final mile uses lower average fuel – typical urban day is ten miles.
4. Congestion Charge exemption for EV
5. Road tax benefits for EV freight
6. Tax exemption for self-employed driver using EV
7. Incentive of access to parking for EVs
8. Bus Lane access extended for EVs
9. Parking dedicated for EVS
10. Period of parking extended to benefit EVs
11. All costs for EV are expensive. Batteries.
12. Vehicle cost - Peugeot Boxer diesel is £30k – EV Boxer is £45k
13. Range is highly impacted by weight of load. Boxer EV 120 mile range, fully loaded drops to 40 miles.
14. Removing financial incentive including the London Congestion Charge benefits of EV have impacted EV van numbers in the capital
15. Need for supporting cost of space to charge in depot – a rates benefit?
IOC DFT EV consultation Headline answer - Fellows response at Sept Heads of Industry was introducing a Congestion Charge exemption for electric vehicles. 100% of members stated that this would be a viable option for helping to improve EV uptake.
Hugh Brennan Westminster Council Freight, servicing and delivery policies
One point one million footfall in 8 Sq miles
‘Westminster understand your need for kerbside’
Westminster is dense, crowded and 24 seven.
Tell us your needs to deliver.
One point one million people in Westminster footfall each day. 8 square miles, but 271 thousand residents, 55 thousand businesses. A borough that is dense and concentrated, we understand your need for our kerbside. We have the highest number density of drink and food establishments in the UK.
The number of motor-vehicles in Westminster is falling. But van numbers are growing with the building of on-line e-retail. LGV numbers are also going up in Westminster. A road use heat-map showed traffic density in retail roads. Fellows spoke challenge above the ground floor in Oxford Street. The residentials above the retail shops have building e-retail ask.
Hugh explained kerbside park times and correlation with rising van numbers.
Case study of freight servicing study was done May 2021 – Kerbside, profoundly we believe this is the greatest and most valued need across the multi-drop Courier sector.
Fellows sked for time on loading bays as drivers in Westminster may walk three times the distance the drive to achieve door deliveries.
DVSA Road compliance update Bob Hannigan
Myth busting, Bob repeated the derogation weights for 3.5ton vans is at 4.25 ton for EV to move the weight of batteries in electric vans. Bob also championed the Loughborough Univ Driver health conf. Drinking fluids and finding toilets in the hot weather got a big ask for help from the fellows.
Jacqueline O'Donovan OBE keynote on her journey in final mile.
Fellows enthralled by a passionate keynote
Four-decade journey to sale of business.
Diversity champion, environmental challenge, four decades in haulage, I am only female in the world with a masters degree in waste management logistics.
My first car a white Anglia, youngest HGV licence in family, I was first to bring low entry vehicles in 2015. This was in Westminster, O'Donovan was first to FORS Gold and a first wave CLOCS achiever. Our flagship depot used solar panels and first to facilitate water damping for commercial dust. I took a personal challenge to become the 'train the trainer' for Driver CPC and went on to write two CPC courses. Sound in transport, I did a risk assessment on the skip wagon chains, focused on speed bump rattles and developed a fully recycled chain cover to bring down the noise levels.
Jacqueline spoke exit from the family business and the time challenge around COVID. Passionately focused, The Queen of Waste. Honoured by King Charles with an OBE in 2024.
Round table dates launched for 2027
Membership of the IOC opens the door to the full Sunday email, annual fee starts from under two hundred pounds. Three 2027 dates have just been confirmed for Guildhall in the City of London, doors open at twelve for agenda at one, finish by four thirty. Fellows are asked to mark their diary for 2027 and confirm attendance early to be sure of a place.
26th Jan - IOC heads of industry fellows round table
20th July – IOC heads of industry fellows round table
21st Sept - IOC Heads of industry fellows round table
