Alliance against road building

PRESS RELEASE – 9th August 2006

A27 ROAD GETS GO-AHEAD DESPITE 68% COST INCREASE

Today the A27 Southerham to Beddingham Improvement near Lewes was approved despite a massive 68 per cent cost increase in just two years [1]. The approval comes just days after a scathing report by the Transport Select Committee [2] revealed how the under estimating of road schemes prices could cost the nation over £1 billion. The National Audit Office is also conducting an inquiry into the reasons for the costs. Road Block believes the A27 road scheme in massively over-designed, and runs entirely within the Sussex Downs Area of Outstanding Natural Beauty (AONB) and designated South Downs National Park. Simple low cost safety measures could have been implemented rather than a massive costly road scheme.

Road Block believes this latest cost increase shows that actually the £1 billion cost over run predicted by the Transport Select Committee could be an underestimate itself, as the Committee only allowed for 15.7 per cent cost increases, whereas schemes costs are rising significantly more. Since the Highways Agency submitted evidence to the TSC inquiry in April, Parliamentary Questions have revealed that costs on just 10 schemes have risen by £98 million - over £1 million a day [3].

* In April 2006, Roads Minister Stephen Ladyman approved a 59 per cent increase in the cost of the High-Low Newton Bypass in the Lake District National Park, which had gone up from £22 million when first approved in October 2003 to £35 million [4].

* In March 2006, he also gave the go-ahead to the M6 Extension from Carlisle to Guards Mill despite a huge 280 per cent cost increase since it was first approved in 2000 [5].

* Government funded local authority road schemes are also rising in cost, with the controversial Weymouth Relief Road in Dorset rising by 41 per cent in just two years. After approval in 2004 at £54.546 million, it is now costing £77 million [6].

Road Block Coordinator Rebecca Lush said:

"Road schemes are being approved by ministers at artificially low costs, and coming back at significantly higher costs yet are still receiving approval. This casts doubts on the bogus economic justifications for roadbuilding, and the Department for Transport's own internal scrutiny processes. Road schemes are not good value for money, drive up traffic growth and contribute to climate change. How many more road schemes are we going to see coming back at massively inflated prices, as the road planners have lied to get approval, and the DfT have turned a blind eye? The tax payer is footing the bill for this farce."

Notes to Editors:

[1] See GNN announcement here
http://www.gnn.gov.uk/Content/Detail.asp?ReleaseID=219716&NewsAreaID=2

[2] The Ninth Report of the Transport Select Committee was published on 27 July and can be found here
http://www.publications.parliament.uk/pa/cm200506/cmselect/cmtran/907/90702.htm

[3] "£1 million a day added to 'out of control' budget for major road projects", Sunday Telegraph, 30 July
http://www.telegraph.co.uk/news/main.jhtml?xml=/news/2006/07/30/nroads30.xml

Information from a Written Answer from Roads Minister Stephen Ladyman on 24 July which updated roads costs since evidence was submitted to the Transport Select Committee in April. This revealed that cost increases of £98 million had been approved.
http://www.publications.parliament.uk/pa/cm200506/cmhansrd/cm060724/text/60724w1873.htm#column_746W

[4] http://www.highways.gov.uk/roads/projects/5066.aspx

[5] Announcement on DfT website at:
http://www.dft.gov.uk/stellent/groups/dft_control/documents/contentservertemplate/dft_index.hcst?n=16318&l=5 and
http://www.roadblock.org.uk/press_releases/2006-03-23.htm

[6] The Weymouth Relief Road was approved in Dec 2003, at a cost of £54.546 million. In a Written Answer by Stephen Ladyman of 24 May 2006 Roads Minister Stephen Ladyman provided the most recent costs of road schemes which showed the scheme had leapt to £77 million - an increase of 41 per cent.
http://www.publications.parliament.uk/pa/cm200506/cmhansrd/cm060524/text/60524w0554.htm