The Department for Transport has announced that lane rental schemes, where utility companies are charged up to £2,500 a day for digging up the busiest roads at peak times, could now be adopted by councils nationwide after successful trials in the south-east.

“Long traffic jams caused by roadworks could be a thing of the past as a scheme which has already significantly reduced delays in Kent and London is rolled out nationwide”, the DfT said.

Pilot lane rental schemes in London and Kent have seen congestion on the busiest roads drop, saving drivers time and boosting the economy. The schemes are intended to incentivise firms to work on quieter roads or outside rush hour, or even to collaborate with other companies to stop roads being dug up multiple times to reduce the impact of roadworks on drivers.

Transport Minister Jo Johnson said:

“Lane rental has seen a massive drop in disruption to drivers as utility companies have changed when and where they carry out work. Now we want millions of motorists around England to get the same benefits.”

The Department for Transport carried out a consultation into the scheme last year, and the majority of those responding supported its rollout nationwide. According to the DfT, many respondents said they wanted to take advantage of the ‘clear benefits’ of lane rental schemes.

The RAC, one of the UK’s leading motorists organisations, welcomed the announcement, saying the trials showed that some of the worst congestion caused by planned utility works in London was reduced by half on roads where lane rental was in operation. While motorists accept that some roadworks and congestion are unavoidable, lengthy and unnecessary queues are incredibly frustrating. The RAC’s own research suggests congestion on roads and journey time reliability are growing concerns for motorists.

About 2.5 million roadworks are carried out each year, costing the economy £4 billion in increased costs to businesses through late employees or deliveries.

In London, utility companies have worked together more than 600 times since lane rental was introduced in 2015, up from just 100 beforehand.

The Department for Transport will produce guidance in the autumn to help councils develop lane rental schemes for approval. The first schemes could start by the end of 2019.

Street Works UK - roll-out is “disappointing” and a “blunt instrument”

Street Works UK, the UK cross-sector body which represents gas, electricity, water, sewage and telecommunications utility companies and their contract partners, described the roll-out as “disappointing” and a “blunt instrument.”

Chief Executive of Street Works UK, Bob Gallienne said:

“It is disappointing that the Government has decided to extend lane rental without any clear evidence that it reduces congestion. We support initiatives to reduce congestion but we believe this approach is a blunt instrument that will make it harder for utilities companies to deliver vital infrastructure that powers the economy. The government’s own analysis of the existing lane rental schemes concludes that there is no causal link between lane rental schemes and reduced congestion.

“Utilities companies are delivering the infrastructure that the UK needs to drive up productivity, create economic growth and deliver on government’s priorities such as broadband and new homes. While we do not believe Lane Rental is the best solution, we will continue to work closely with the Government to ensure their proposals are implemented in a manner that reduces complexity, recognises the need for consistency and is only used in targeted and limited situations.

“Local authorities already have the powers to manage and co-ordinate street works, but are currently not using these effectively. Data shows that utilities are performing to a significantly higher standard than highways. It is therefore essential that these proposals apply equally to both utilities and local authorities.”