“If I run my business using a dual-purpose vehicle, do I need to obtain an Operator’s Licence and follow EU driver’s hours rules?“
These are questions we are often asked and if the answer to the first question is no, there is often an assumption that the answer to the second question will also be no.
But, the law that governs each requirement is entirely independent. Generally, operations that do need a Goods Vehicle operator licence will be required to follow EU drivers’ hours, subject to any exemption or derogations available.
You need an operator’s licence if you use a goods vehicle on a road for the carriage of goods for hire and reward or in connection with any trade or business.
This is set out in Section 2 of the Goods Vehicle (Licensing of Operators) Act 1995 and Section 58 defines a goods vehicle as being a vehicle that has a maximum laden weight exceeding 3,500kg.
The basic premise is that if you are carrying goods for hire or reward, you will need a Standard Licence (National or International). If you are carrying your own goods in connection with your business, you will need a Restricted Licence.
Over the last 3 years, we have seen a move by the regulator to close the gap between Standard and Restricted licences. In the recent decision for N Bramall & Son Ltd (who had held a Restricted licence since 1993), the Commissioner determined that a Standard licence was necessary. The operator ran an abattoir and was engaged in buying livestock before slaughtering and then selling and delivering the carcasses to customers. In accordance with Statutory Document 0 (Introduction to Operator Licensing, (para 55)), this has historically been understood to be subject to a restricted licence as follows:
“where an operator only carries goods that are, or become and then remain the operator’s own property, a restricted licence is likely to be appropriate.”
The Commissioner determined that the carcasses did not “remain” the property of the operator and (although the operator did not receive an identified cost for the transport of the carcasses), such cost was calculated within the overall price. As the operator was receiving a “reward” for the transport, they required a Standard licence.
Another “grey area” is whether an operator’s licence is required for a business which is using dual purpose vehicles and towing trailers.
Dual-purpose vehicles and any trailer drawn by it are exempt from operator licensing, but to benefit from this exemption, the dual-purpose vehicle must meet the Road Vehicles (Construction & Use Regulations) 1986 definition of a dual-purpose vehicle. One of the main criteria being the unladen weight must not exceed 2,040kg.
If you are towing vehicles, unladen weight does not exceed 2,040kg (and meets all other criteria), then you are exempt from operator licensing.
Are you exempt from EU Drivers’ Hours?
***Spoiler alert*** – legal bit coming up first: EU Drivers Hours are contained in EC Regulation 561/2006 and retained by virtue of section 3 of the European Union (Withdrawal) Act 2018, amended by the Drivers’ Hours and Tachographs (Amendment etc.) (EU Exit) Regulations 2019.
Where the maximum permissible weight of a vehicle including any trailer or semi-trailer, exceeds 3,500kg and the driver is engaged in the carriage of goods, then EU Drivers’ Hours apply, unless an exemption or derogation is available.
If an exemption or derogation applies, then the work becomes subject to the GB Domestic Drivers Hours contained in the Transport Act 1968.
What this means in practice is that a dual-purpose vehicle & trailer combination may be exempt from operator licensing but still subject to EU Drivers Hours.
This is because it would be rare that the maximum permissible weight of a pulling vehicle & trailer combination would not exceed 3,500kg.
Of course, the type of work carried out may mean it is exempt from EU Drivers’ Hours and therefore subject to GB Domestic.
As always, any case will be determined on its own facts.
