BAA renews levy campaign

Following the change of government in the UK, the 887 British Aggregates Association (BAA) has renewed its campaign to have the country’s Aggregates Levy scrapped. The organisation has written to Chancellor George Osborne to repeal the tax, which the BAA has said is a stealth tax that has failed to produce the benefits claimed when it was introduced in 2002.

BAA director Robert Durward said, “Not only was this levy based on research which was set up to produce the answer the previous government wanted, it was never capable of achieving environmental gain. There were no rebates for environmental improvements and much more polluting extractive industries such as coal, slate and china clay were exempt altogether.

“As a result of the impact of the recession on private sector construction, the percentage of aggregates going to the public sector is now around 70% of the total. In addition the December 2008 judgement ruling by the European Court of Justice almost certainly means that the Levy will have to be scrapped as it constitutes illegal State Aid.

"Now that its environmental credentials have been exposed as a sham and the taxpayer is paying the bulk of it anyway, it is time to call time on this ridiculous levy. Company analyst Plimsoll report that more than one third of all quarry companies are now "at significant risk" and with the construction industry still on its knees - why prolong the agony?"