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UK pothole crisis costs £14.4bn every year from longer journey times and vehicle damage

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The research, the first of its kind, attempts to quantify the economic impact of potholes by assessing their impact through three different factors: damage to vehicles, accidents and drivers having to reduce speeds.
The research, the first of its kind, attempts to quantify the economic impact of potholes by assessing their impact through three different factors: damage to vehicles, accidents and drivers having to reduce speeds.

The UK’s pothole crisis costs £14.4bn a year in economic damage, according to research from the Centre for Economics and Business Research (CEBR).

The research, the first of its kind, attempts to quantify the economic impact of potholes by assessing their impact through three different factors: damage to vehicles, accidents and drivers having to reduce speeds.

The bulk of the economic cost comes from longer journey times as nervous motorists attempt to limit the damage to their cars. Studies suggest that driving speeds are more than halved on a potholed road.

Using these studies, Douglas McWilliams, deputy chair of the CEBR, estimated that the UK’s potholed roads add an extra 1.3bn hours to journey times, costing £12.7bn when transferred into the government’s transport modelling tool.

Looking at the direct cost to vehicles, estimates from Kwikfit suggest the annual cost from pothole damage is £1.49bn.

Finally, McWilliams estimated that the human cost from accidents is around £200m.

McWilliams, who completed the most recent Peking to Paris rally, said Britain’s roads were “notably worse than in both Russia and Kazakhstan” and well behind the equivalent level in Europe.

“Anyone who drives or cycles will be aware that Britain’s pothole crisis is serious,” he added.

The UK’s roads have steadily been deteriorating since the financial crisis, largely due to a lack of funding. English local authorities’ spending on ‘routine maintenance’ fell in real terms from £1.8bn in 2006 to £1.3bn in 2023, a fall of 27 per cent.

Last year motorists reported 1m potholes with the south east the worst affected area. The RAC’s annual pothole index, which measures the risk of a driver breaking down compared to the 2006 base, increased from 1.60 in 2022 to 1.69 in 2023.

The government has made addressing potholes a priority. In the Autumn Statement, it said it would provide £8.3bn of extra funding over 11 years to tackle the “scourge of potholes“.

However, this will still fall short of the funds needed to tackle the backlog. A recent report from the Annual Local Authority Road Maintenance suggested that £16.3bn would be needed, the highest figure in 29 years.