HGV driver shortage worsens as training and staffing costs rise, warns Radius

Rising training, insurance and staffing costs could make it increasingly difficult for UK haulage firms to recruit and retain HGV drivers, according to Radius.

Research cited by the telematics provider forecasts that 400,000 new drivers per year will be needed to match economic demand, while fewer than 2% of UK HGV drivers are aged under 24 and more than 55% are between 50 and 65.

Radius warned that the ageing workforce and low number of younger drivers entering the profession could add to recruitment pressures as retirement rates increase.

Training costs in the road haulage industry have risen by 100% over the past 10 years, according to research from Dojo’s UK Inflation Index, increasing the cost of getting new drivers qualified and on the road.

Insurance costs for the haulage industry have also increased by 57% over the past decade.

Radius said the challenge could become more pronounced as firms seek to recruit younger drivers, who can face higher insurance costs due to their lack of experience.

Staffing costs have increased by 44% in the past year, with Radius citing factors including increased National Insurance contributions in 2025. Competition to recruit drivers is also putting upward pressure on wages.

Jolawn Victor, divisional chief executive officer of telematics at Radius, said: “As rising training, insurance and staffing costs continue to increase, UK haulage firms face a growing financial barrier to recruiting and retaining the drivers they need to match demand.