The announcement by National Highways that the wider economic value of freight will be considered when appraising new transport schemes is welcomed by business group Logistics UK. Head of Infrastructure and Planning Policy Jonathan Walker explains how speeding up the development of transport infrastructure will drive growth across the whole economy and why it is critical to properly value freight when making investment decisions:
“The current poor road conditions act as a “tax on business” and assessing the economic value of transporting goods more quicky is a practical way of demonstrating the benefit of a transport scheme to the UK economy.
“Using a methodology that rewards efficiency gains increases the likelihood of transport infrastructure investment being approved and will help address the UK’s existing ageing road network. National Highways’ analysis shows the new appraisal methods generate a 36% average uplift in benefit-cost ratios, and this shows just how much freight corridors are currently being undervalued. We also know that every £1 invested in the Strategic Road Network is thought to return over £2 to society so the business case for transport investment is clear.
“Logistics UK has long been calling for investment and planning decisions to be focused on enabling efficient logistics and this announcement shows the views of the industry are being heard. We will continue supporting National Highways in helping it achieve its aim of ensuring future investment decisions better reflect the needs of business, trade and the wider economy.”
