FREIGHT drivers have hit out at plans to cut Severn Bridge toll prices, claiming they are a 'kick in the teeth' for businesses in South Wales and south west England.

In last Wednesday's budget announcement, (18th March) Chancellor George Osbourne revealed that the cost of the Severn Bridge tolls would be cut from 2018.

When the bridges are handed over to public ownership three years from now, VAT will be scrapped on the tolls, seeing a reduction of 20 per cent from current levels.

If charges remain the same, the current £6.50 charge for cars would drop to £5.40.

Vans benefit further as they will be put into the same category as cars, meaning the current cost of £13.10 would also go down to £5.40.

Charges for lorries and other freight vehicles will also decrease by 20 per cent. This would take the current rate from £19.60 to £16.30.

However, the Freight Transport Association (FTA) believes that the cuts don't go far enough for its members.

Ian Gallagher, FTA head of policy for the south west and Wales said: "The Chancellor's announcement is the first confirmation from UK Government that charging will continue after 2018 when the bridge comes into public ownership.

"Whilst the change to the tolls is seen as good news for van and minibus operators – FTA considers it is a kick in the teeth for the logistics industry as a whole.

"There are three years of toll increases still to come. By 2018 we anticipate that the toll will be in excess of £20 for HGVs."

The FTA has campaigned for many years for the tolls to be abolished, with an Arup survey carried out in 2012 calculating that the Welsh economy would benefit to the tune of £107 million a year if that happened.

"FTA sees this as a bitter blow for businesses in the south west and Wales which have campaigned for an end to the tolls once the concession ceases," said Mr Gallagher.

"For too long freight operators have had to pay high charges to use the Severn Crossings, which are a vital artery between Wales and England.

"The money that business spend on paying these tolls could be better invested on driver training or on greener fleets."

Wales Office minister Alun Cairns, pictured, has welcomed the plans though, saying that Welsh businesses and the public will benefit from the VAT scrap and the removal of Category 2 (small goods vehicles and small buses).

The minister said: "Part of our long term economic plan is about helping small businesses cut costs so they can grow their companies, create jobs and boost the Welsh economy.

"The announcement is great news for small businesses but also for the many hardworking people in South Wales who cross the Severn Bridge every day for work."

Monmouth Assembly Member and Welsh Conservative Shadow Minister for Finance, Nick Ramsey, said that the toll cut was "hugely welcome" and would help continue economic growth in the region.

Monmouthshire Assembly Member, Nick Ramsay, said in his role as Welsh Conservative Shadow Minister for Finance: "Continued economic growth, more job creation and more community support - this is a budget for Wales and a budget that will benefit homes right across our country.

"From a hugely welcome Severn Bridge toll cut to much-needed support for the air ambulance.

"This is positive, supportive and further proof of Conservatives delivering for Wales."