UK haulage firm closures top 1,300 in three years

UK haulage firm closures top 1,300 in three years

More than 1,300 UK haulage businesses have disappeared over the past three years, prompting fresh concerns about freight capacity, HGV driver shortages and the resilience of Britain’s supply chains.

The latest casualty is Lancashire-based J.M. Gorry & Son Limited, a family-run haulage company with more than 50 years of history, which entered administration this month. Its collapse follows the recent failures of T.M.S Service Provider Limited and S&B Haulage Ltd, underlining the mounting financial pressures facing road transport operators.

According to the Road Haulage Association (RHA), almost 400 haulage businesses closed during 2025, following around 470 in 2024 and more than 500 in 2023. The trade body has warned that insolvencies are expected to continue as operators contend with rising operating costs, higher interest rates, tighter regulation and ongoing geopolitical uncertainty.

The loss of haulage firms extends beyond the transport sector. Every insolvency represents lost jobs, investment and decades of operational expertise, while also reducing the freight capacity at a time when demand for reliable logistics remains high.

Road transport remains the backbone of the economy, with around 81% of all domestic freight moved by road. Supermarkets, manufacturers, construction firms, healthcare providers and retailers all rely on HGV operators to keep goods flowing across the country.

As more transport businesses leave the market, industry leaders are increasingly concerned about whether the remaining operators will be able to absorb demand, particularly as the sector continues to face a chronic shortage of qualified HGV drivers.

Although recruitment has improved since the peak of the driver shortage, the industry still requires tens of thousands of additional drivers to meet long-term demand. An ageing workforce, difficulties attracting younger recruits and increasing operational pressures continue to constrain recruitment.

The combination of shrinking haulage capacity and persistent driver shortages presents a growing challenge for supply chains. Fewer transport companies mean reduced capacity, less flexibility during periods of disruption and greater pressure on surviving operators, potentially driving up transport costs that are ultimately passed on to businesses and consumers.

For drivers, the situation also presents challenges. Financial pressures can lead to longer working days, tighter delivery schedules and increased operational demands, making driver retention just as important as recruitment.

Digital transport solutions provider SNAP believes the industry must not only support haulage businesses through difficult trading conditions but also improve the day-to-day experience of professional drivers.

By reducing administrative burdens, improving route planning and giving drivers easier access to secure truck parking, welfare facilities and roadside services, operators can improve efficiency while enhancing driver satisfaction and retention.

Nick Long, Head of UK Commercial at SNAP, said: “Every time a haulage company closes its doors, we lose more than a fleet of vehicles. We lose decades of experience, skilled people and vital transport capacity that the UK’s supply chains rely on every single day.

“Businesses across the country depend on road freight, yet operators continue to face mounting financial pressures while also competing for a limited pool of professional drivers. Those two challenges together create a real risk for the resilience of our supply chains.

“Supporting the industry isn’t just about recruiting more drivers. It’s about making the profession more sustainable, helping operators work more efficiently and ensuring drivers have access to the facilities and technology they need to do their jobs safely and effectively.

“As an industry, we need to recognise that if haulage businesses continue to disappear at this rate, the consequences will eventually be felt far beyond transport. They will be felt by every business, every retailer and every household that depends on goods arriving where they’re needed.”

SNAP’s digital platform supports thousands of transport operators across the UK and Europe by helping fleets plan journeys more efficiently while providing access to secure truck parking, fuel, vehicle washing and roadside services. The company says these technologies play an increasingly important role in improving driver welfare, reducing operational costs and increasing fleet productivity.

With economic pressures continuing to reshape the road transport sector, investment in technology, operational efficiency and driver support is expected to become increasingly important in helping haulage businesses remain competitive and ensuring Britain’s supply chains remain resilient.

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