Green light for Highways Agency reform gives better deal for taxpayers
30 Apr 2014 04:41 PM
Changes to Highways Agency into a
government-owned company move step nearer.
Sweeping changes to the way England’s major roads
are managed moved a step closer yesterday (30 April 2014) after Transport
Secretary Patrick McLoughlin approved wide-ranging reforms to the Highways
Agency.
In
less than 12 months the Highways Agency will be transformed into a
government-owned company tasked with managing and operating England’s
motorway and strategic A-road network.
The
government has committed more than £24 billion to upgrade England’s
strategic road network between 2010 and 2021 - part of a £56 billion
investment in the country’s transport infrastructure designed to help get
the economy moving.
Changes to the Highways Agency will save the taxpayer at
least £2.6 billion over the next 10 years and will make the new company
more accountable to Parliament and road users. Supported by stable, locked-in
funding that will eliminate the uncertain ‘stop-start’ processes of
the past, the new company and its suppliers will have the confidence to recruit
skilled workers on longer-term contracts that will save the taxpayer
money.
The
government is also setting up 2 new bodies to hold the company to account - one
to protect the interests of motorists and other road users, and another to
oversee the roads network and watch over costs and performance. These will be
created with 2 expert transport bodies,Passenger
Focus and the Office of Rail
Regulation, and will provide transparent reports on roads
issues.
The
Transport Secretary approved the reform following an extensive consultation on
the government’s proposals, the results of which are published yesterday
(30 April 2014) alongside the government’s response. The department will
now work to introduce the legislation needed to underpin these changes and
plans to bring the new company into operation in April 2015.
Patrick McLoughlin said:
Our
road network is an incredibly important national asset, but it has been
neglected. This government has committed to the biggest ever investment in our
roads but it is vital we have the right foundations in place to make sure this
huge amount of money is spent in the most efficient way.
The
reformed Highways Agency will be more transparent and more accountable, driving
down costs as it increases efficiency. This means taxpayers get a better deal
and road users get a network that is fit for the future economic demands of
this country, helping to create more jobs and support business
growth.
Find out what else the government is doing to support
and grow theUK
economy
Alasdair Reisner, Chief Executive of the Civil
Engineering Contactors Association said:
In
the past, the roads sector has suffered from boom-and-bust conditions that are
hugely damaging to the smooth delivery of projects. These reforms will not only
make the Highways Agency more efficient, but will also mean greater funding
certainty for the construction sector.
Long-term stability and certainty of investment will
give our members and the Highways Agency good visibility in planning their
work, whilst providing the supply chain with greater confidence in developing
its workforce to meet future demands.
To
help support the government’s economic ambitions for the road network
the Department for
Transport will publish a long-term ‘Roads investment
strategy’ later this year. This strategy will set out a clear vision for
the new company that will include a new plan for investment and performance
requirements.
Last week the Department for Transport also published
the scope documents for 6 feasibility studies that aim to identify
solutions to some of the most notorious and long-standing hotspots on the
strategic road network. These include:
- the
A303, A30 and A358 corridor to the south west
- the
A1 north of Newcastle
- A1
Newcastle-Gateshead Western bypass
- trans-Pennine routes between Manchester and
Sheffield
- the
A27 corridor on the south coast
- the
A47 corridor between Norfolk and the Midlands
The
studies aim to report with proposed solutions this autumn.
Alongside the feasibility studies, the Highways Agency
has also publishednew evidence reports for
routes on the strategic road network - the first stage towards
developing solutions to the future demands on England’s
roads.
In
the coming months, the Department for Transport will set out detailed plans for
the board of the new strategic highways company and appointments, sanctions
that might apply to the new company, decisions on planning powers and the
company’s role in the planning process.
Related roads reform documents