Pothole repair and new road costs soar over 20%

Aaron Morby 3 months ago
Share

Councils are warning they could be forced to halt planned road projects in order to prioritise road maintenance as spiralling inflation eats away at budgets.

Local councils are reporting that pothole repair and new road costs have spiralled by 21% and 22% respectively in the last six months. While the cost of running and repairing street lights has risen 38%

New analysis by the Local Government Association and the Association for Directors of Environment, Economy, Planning and Transport (ADEPT) reveals that stretched council budgets will lead to delays in new works unless extra funding is released by the Government.

Prior to the war in Ukraine, an estimated 60% of bitumen was sourced from Russia and sold onto the European market.

Since the Russian invasion, councils have had to ration the supply of the material and source it from other markets, pushing up costs and delaying road repairs.

Councils are also reporting that increasing costs for electricity, steel, lighting and cement are all impacting on their budgets.

As well as this, areas preparing for winter have been hit by an increase of 60% in the cost of salt.

The LGA, who represent over 350 councils in England and Wales, are calling on the incoming Prime Minister to urgently help meet these additional cost pressures in full as part of any new budget measures introduced.

Local councils are already facing a significant road repair backlog, with latest estimates suggesting it would take them 10 years and £12bn to bring local roads up to scratch.

These increased cost pressures could risk the backlog getting longer, with vital works having to be delayed.

Mark Kemp, President of ADEPT said: “Current inflation rates are having a massive impact on major capital schemes.

“Local authorities are doing all we can to identify additional funding to meet rising costs, but without a change to funding allocations from government, the funding gap problems that lie with local councils will worsen dramatically, increasing the risk of some schemes failing.”

Cllr David Renard, Transport spokesperson for the LGA said: “To tackle this issue, the new Government must cover these increased costs for councils or risk roads condition getting worse or reductions in other services.

“Only with adequate long term funding – to cover increased cost pressures and invest in local services – and the right powers, can councils deliver for our communities, tackle the climate emergency, and level up all parts of the country.”

 

Latest news

Plans lodged for Manchester student tower and offices

Plans lodged for £250m One Medlock Street mixed-use office and student scheme
2 hours ago

Glasgow civil engineer banned for £100k Bounce Back Loan abuse

Sole director handed 11-year ban for falsely claiming two loans for personal gain
7 hours ago

Unite passes union hotel job probe findings to police

Independent reports raise concerns of ‘potential criminality’ around union's £100m hotel and conference centre
8 hours ago

McLaren tops November contracts league

Excel exhibition centre £200m phase 3 wins lifts McLaren to pole position for contract wins last month
19 hours ago

Former Wates CEO joins Mace as new financial chief

David Allen replaces Richard Bienfait who stepped down in September
19 hours ago

M25 to go green under new Shell and Balfour deal

New trial of paving on UK's busiest motorway
19 hours ago

Bidders wanted for £125m painting and decorating framework

Apply now for latest Fusion21 deal
18 hours ago

Robertson wins first MIM-funded Welsh school job

£65m Flintshire school campus project first to use Welsh mutual investment model
20 hours ago

Willmott Dixon wins £130m Broadwater Farm estate revamp

Green light for north London estate transformation
19 hours ago

Materials giant CRH looks to sell contractor Farrans

More than 550 staff set to get new owner
3 days ago

West Yorkshire transport projects delayed to save £270m

Over 30 transport schemes to be placed on hold due to cost inflation budget pressure
2 days ago

Decision on A1 Costain dualling job delayed for third time

Development consent decision for £260m Northumberland scheme put back a further 9 months
2 days ago

Colas wins £140m Cheshire highways upkeep deal

Incumbent contractor Ringway will handover to Colas in April
2 days ago

Skanska to lend staff cash

Contractor links-up with finance firm to offer affordable loans to employees
2 days ago

Ilke Homes pulls off £100m record-breaking fund raise

Largest-ever capital raise by a UK modular house builder to fund expansion
3 days ago

Construction buyers fear for year ahead

"Construction companies now have a tightrope to walk in terms of being ready for recovery and cautious around investment"
3 days ago

Gove calls for competition probe into house building

Levelling Up and Regeneration Bill 'strengthened' with new measures
3 days ago

Schools get £500m for energy upgrades this winter

Extra cash found for better heating controls, insulation and energy efficient lighting
3 days ago

1,000-home North London scheme approved

Developer Hill will start work in the Spring on South Tottenham site
3 days ago

Bid race for £500m Suffolk construction framework

Construction and building services firms called up for East of England four year deal
3 days ago

Mace employs robot dog to avoid slip and trips in tunnel

Robot working in dark and hazardous conditions under Heathrow Airport
3 days ago

Administrator details confirmed at Southampton M&E firm

Begbies Traynor now in charge at Working Environments as suppliers face large losses
3 days ago

Former Galliard chief takes helm at Inland Homes

New CEO Don O'Sullivan sets out to return south east house builder to profitability
3 days ago

Applicant numbers nosedive for construction vacancies

Recruitment market gets even more competitive - how the Enquirer can help
4 days ago

Industry veteran to head Henry Bros northern arm

Peter Commins, former Kier and Balfour Beatty northern chief, to spearhead growth drive
3 days ago

Housing association shuts in-house modular factories

Swan closes loss-making steel frame and cross-laminate timber factories
4 days ago

350-homes approved around iconic London Tube station

Housing blocks to be built around Grade II-listed Hounslow West Tube station
4 days ago

Domis set for £195m Boddingtons Brewery scheme

Developer Salboy buys Manchester site to kickstart long-awaited 556 homes project
4 days ago

John Lewis £500m funding deal to build 1,000 rental homes

Deal to advance BTR flats at store sites in Bromley, West Ealing and Reading
4 days ago

Esh launches new housing retrofit division

Esh Retrofit Solutions will target market to improve the energy performance of social rented homes
4 days ago

Contractor services