Utility firms will face £2,500 a day charge for digging up roads

 
Optimistic: Justine Greening said lane charges will bring “real benefits”

Traffic in London could soon be moving more smoothly after plans to charge utility firms up to £2,500 a day to rent traffic lanes were given the go-ahead by the Government.

Boris Johnson will introduce the levies on gas, water and cable TV companies before the Olympics.

Charges depending on the severity of congestion caused and timing will be enforced to make firms carry out works during quiet periods, including weekends and nights, rather than the rush hour.

The lane rental regime, which was fiercely opposed by the utility companies, will apply to about 200 miles, or nearly half, of the major roads in the capital.

Mr Johnson said it will help stop the “colossal nuisance” of roadworks.

The measures will come into force on June 11, which officials hope will help avoid a summer of congestion in London.

The Mayor said: “Roadworks are a colossal nuisance for Londoners and a great cost to our economy. That is why in 2008 I promised to strongly lobby government to introduce powers to reduce disruption and I am delighted that our constructive negotiations are delivering real progress.

“It will push everyone involved in roadworks on the capital’s roads to cut disruption and do their utmost to keep Londoners moving and businesses growing.”

Transport Secretary Justine Greening added: “Anyone who has travelled on London’s roads knows how frustrating it is to find major routes being dug up in the middle of the rush hour or, even worse, lanes coned off when no one is even carrying out any work.

“It’s not just inconvenient but expensive, costing the economy £4 billion a year.

“I’m pleased the Mayor and TfL have got cracking in bringing forward proposals for a lane rental scheme which will bring real benefits to those travelling in the capital.”

Under the scheme roadworks companies will be able to avoid the charges by carrying out works during less busy times or, ideally, at night.

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