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First Minister calls for Severn Crossing charges to be controlled by Welsh Government

News | Richard Gurner | Published: 09:00, Tuesday November 6th, 2012.

First Minister Carwyn Jones has said he wants the Welsh Government to take control of tolls on both Severn Crossings from 2018.

He has called for discussions to be held with the UK Government.

The bridges, used by 80,000 vehicles a day, are currently operated by private company Severn River Crossings Plc. The company’s concession will end when takings from the tolls reach £996m at 1989 prices, estimated to happen in about 2017.

Mr Jones said: “We know the Severn Crossings provide a key link in Wales’ transport and economic infrastructure and that is why we commissioned an independent report to look at the economic impact of the tolls and asses the overall balance of effects on the Welsh economy.

“The current concession agreement granted to the private company that runs the crossings is likely to end in 2018. After this the revenue from the tolls will go to the UK Government. The time has therefore come to start thinking about the future of the crossings so that a new arrangement can be secured that maximises the economic benefit to Wales and the UK.

“I am therefore calling for early discussions on the arrangements relating to the crossings when the current agreement ends. This will need to encompass the suitability of the existing legislation and the future of tolling.

“I am concerned about recent indications from the UK Government that they might seek to retain the income from tolling beyond 2018. It is clear to me that this would be unacceptable. Whatever exact budgetary and legal arrangements are in place at that time, there would be a strong perception that drivers coming into Wales were being charged – directly or indirectly – to fund Department for Transport spending in England.

“There needs to be an acceptance of the underlying principle that the Welsh Government should play a central role in determining future arrangements and in accessing and utilising any future revenue streams for the benefit of the people of Wales.

“I want to work with the UK Government to achieve a situation where decisions about charging will be a matter for the Welsh Government.

“It is too soon to say what the best solution would be if we gained control over the tolls. There are a number of options available and we would need careful consideration of how any revenue raised would be used. However, what is clear is that these decisions should be made in Wales.

“Given the strategic significance of the Crossings to the UK, it is important to work closely with our counterparts in London. I will therefore be raising this matter with UK Ministers in the coming weeks.”

The First Minister made his comments on the day an independent report revealed that the tolls are costing the Welsh economy around £80 million a year was published. The current tolls are used to pay for the construction and upkeep of the Severn Crossings.

1 thought on “First Minister calls for Severn Crossing charges to be controlled by Welsh Government”

  1. Trefor says:
    Tuesday, November 6, 2012 at 10:21

    It is, actually, a no brainer. Of course the management of these bridges should be in the hands of Wales, and in fact, should have already come under the management of the Welsh Assembly.

    The private company which has control of this modern day highwayman operation has paid tax to the UK government of about £8,500,000 (eight and a half million pounds) most years it has operated,Money which could be well invested in Wales, last year it had paid off all its loans for money used to build the ` new` bridge, it increased its cash on deposit by 100% to over £24,500,000 and reduced its liabilities to almost nothing.

    This is a very wealthy company run by Directors who are also directors of Banks from both England and America, and Operations Directors of the company which built the bridge, all of whom have made a nice little earner from those traveling to and from Wales THANK YOU VERY MUCH. The company are now almost completely devoid of any investing debt liability, and, from 2010 will pocket almost all its takings in profits, less of course the Tax liabilities it pays the English Exchequer, which are Corporation Tax and VAT, both of which are paid at reduced concessionary rates, giving this Company a huge boost to its profit line. OF COURSE THE WELSH ASSEMBLY SHOULD ASSUME RESPONSIBILITY FOR THE BRIDGES WHEN THE CONCESSION BY THIS COMPANY RUNS OUT.

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