Key Differences Between HGV Traction and Full Haulage Contracts

Still shelling out for trucks parked idle in your yard? You’re not alone. Most companies bleed money on fixed fleet expenses without knowing there’s a better way to transport freight.

Here’s the breakdown you really need: no hype, just the numbers and strategic distinctions between HGV traction services and full haulage contracts.

What HGV Traction Really Is

Traction-only services = your trailer, their tractor unit and driver. You own (or rent) the trailer. Already loaded, branded, and set up just the way you’d like it. The haulage company arrives with an experienced driver and the tugging power to transport it from A to B. That’s it.

Think of it like renting muscle without purchasing the gym. You have possession over your trailer fleet; essential for speciality equipment, brand needs, or special loading processes. And you don’t pay until you need the service.

The majority of providers are able to deliver a tractor unit within six hours anywhere across the UK. Day rates begin at about £425, though that does depend on specs and mileage.

What Full Haulage Actually Covers

Full haulage = they do it all. Tractor, trailer, driver, insurance, maintenance, compliance; the lot. You ring, they pick up, they drop off. You never give vehicle ownership, operator licensing, or brake examination a second thought.

It’s the complete solution for companies that see logistics as a service to outsource, not something to develop as an ability. Full Truck Load (FTL) possibilities ensure your consignment has dedicated space, no shared transport, and direct from source to destination.

Does it cost more per move? Sure. But you’re also avoiding capital expense and fleet administration headaches.

The Real Differences That Matter

Let’s skip the marketing jargon. Here’s what really differentiates these models:

Equipment Ownership: Who Owns What?

Traction contracts enable you to retain branded trailers, customised rigs, or gear set up to your precise specifications. Refrigerated trailers? Low-loaders? Flatbeds with specialized securing? Yours to command.

Full haulage eliminates equipment decisions altogether. The provider owns, maintains, and operates everything. No involvement necessary.

Operational Flexibility: Are You Able to Scale Rapidly?

That is where traction devours the competition. Traction services scale up or down with minimal commitment. Seasonal peak? Call for three extra units. Unexpected surge? Book capacity within hours. No long-term contracts are typically required for basic services.

You are converting fixed fleet costs into variable operational expenses. During quiet periods, you are not bleeding cash on idle assets. During busy periods, you are not scrambling to find capacity.

Full haulage contracts provide stability at the expense of responsiveness. Formed arrangements, pre-agreed service levels, standard routes. Excellent for consistent demand; less good when the market throws you a curve.

Cost Structure: Where Your Money Actually Goes

Traction-only pricing = visibility you can plan.

• Day rates from £425 (standard)
• Variable costs broken out (mileage, tolls, ancillary services)
• No capital invested in tractor units
• Pay-as-you-go model

You’re not incurring the capital cost of owning and maintaining tractor units. We’re discussing £80,000–£120,000 up front for each new HGV, plus maintenance, insurance, and depreciation.

Full haulage rates = higher per-movement cost, reduced total responsibility.

What influences rates: distance, weight, frequency, and specialist requirements. Most contracts have fuel surcharge provisions to pool risk when diesel prices move. You’re paying a premium for the complete package.

The math isn’t “which is cheaper per trip?” It’s “what’s my cost of ownership, including equipment I’m not utilising?”

Responsibility and Liability: Who’s On The Hook?

That’s where companies get burned unless they read the fine print.

Maintenance and Compliance Requirements

Traction contracts: You own the trailer; you take care of the trailer. Safety inspections, regulatory compliance, all at your expense. But; and this is important; the traction company has a legal responsibility for the condition of your trailer when it’s on public highways. They need to guarantee proper brake testing and safety inspections (normally every 13 weeks maximum for third-party trailers).

Full haulage: Provider does it all. Fleet management, operator licence, roadworthiness of the vehicle; all handed over. You never even give it a thought.

Insurance Coverage: What’s Really Covered?

Traction providers usually provide RHA-recommended values for insurance, such as coverage of high-value loads and refrigerated products. But check this; standard commercial policies can provide only limited cover for trailers over specific weights.

Full haulage makes all that much easier. Full vehicle and cargo coverage is included as a matter of course.

When Traction Contracts Win

You already possess specialised trailers. Why outsource equipment that you’ve already invested in? Take advantage of traction services, retain control, prevent redundant investment.

Ideal scenarios:

• Seasonal demand variations (peaks at retail, farm cycles)
• Specific equipment demands (refrigerated, low-loader, tankers)
• Brand-sensitive trailer appearance
• Well-established loading routines you won’t sacrifice
• Unpredictable workload patterns

You wish to avoid capital outlays while maintaining operating control? Traction is your solution.

Full Haulage Contract Models

Total frameworks outlining scope of service, service delivery standards, pricing arrangements, and liability. Contract length typically 1–3 years. Different pricing: rates per drop, miles per calculation, a flat, monthly fee. Annual purchasing events enable you to lock up committed capacity at current market-driven prices.

Making The Right Choice (Without Overthinking It)

Already committed to trailers? Utilise traction.

• Zero fleet management burden a requirement? Go full haulage.
• Unpredictable demand a challenge? Traction’s flexibility is the winner.
• Operating consistent, predictable schedules? Full haulage delivers stability.

The hybrid solution many successful operations employ: base volumes via full haulage, peak volumes via traction services. Maximise cost efficiency with reliability across fluctuating demand with Transit Fleet.

Your choice depends on how you desire focus: managing transport assets or keeping focus on core business activities. Decide accordingly.

Quick Reference: Decision Matrix

Numbers don’t lie. Determine your cost of ownership in assets, maintenance, compliance, and opportunity cost of capital, and then pick the model that truly makes financial sense for your business.