To all customers of the Humber Bridge
I am aware that there is currently considerable interest over a possible increase in the tolls at the Humber Bridge
The extra interest has possibly been exacerbated by the Scottish Parliament’s recent decision to remove the tolls on the Forth and Tay Bridges and the publication of financial reports at a recent meeting of the Bridge Board which extrapolate our projected income for the following year.
Early reports in the local media have seemingly developed speculation into fact and also, unfortunately, published erroneous information. I would like to take an opportunity, therefore, to provide direct information that may assist in your consideration of our operation and the application of tolls.
Firstly I would like to confirm that the Humber Bridge Board has a debt of approximately £330M from construction of the bridge. This debt will, by our continuing to make payments that absorb approximately 70% of our income, be entirely repaid by 2035. At this time the Bridge Board will be able to consider the level of toll that needs to be charged to ensure the bridge is adequately maintained but until that time, or until the debt is otherwise removed, it has absolutely no option but to continue with the level of tolling necessary to service the debt.
The benefits of the Humber Bridge for transport in the region are undeniable and it is, perhaps, debatable if the Government should have formally supported the bridge project at its conception but is a matter of record that such support did not exist. To allow the project to be realised, however, the Government did agree to lend finances necessary for the Humber Bridge to be built strictly on the condition that this debt was repaid to the public purse.
In that regard we are obliged to increase the tolls every two years, by inflation, just to keep pace with our liabilities. 2008 is one such year and an increase is therefore likely to take place. It should be stressed, however, that once our inflation rate increase has been accurately calculated it has to be advertised for public consultation. If objections are raised, as has occurred in the past, then the proposals and the objections will be put before an independent Inspector, appointed by the Department for Transport, at a public enquiry. The Inspector will then put his considerations before the Secretary of State for Transport and it is only after his approval that we can arrange to implement any increase.
With regards to toll equipment at the bridge I receive many welcome comments from customers suggesting possible improvements in our toll collection process, notably concerning automatic or account based payment. I take due account of these suggestions and, when the existing equipment becomes uneconomic to maintain I will be including all such suggestions in making my recommendations to the Board. With the high capital cost of such equipment, of course, it is sensible to ensure that the residual value of existing equipment, does not exceed any potential savings from a new system. In other words we must balance the cost of new equipment against any savings that could be made before we make such a move. At the moment that point of balance is still some time away.
I hope this information goes some way towards explaining our organisational remit for collection of tolls, even though I realise it is unlikely to make their payment any more paletable!
Peter Hill
General Manager & Bridgemaster