Government should introduce dynamic road-user pricing, says ACE report

The Government should introduce dynamic road-user pricing which takes into account a driver’s journey, the time of day, congestion on the network, and even their financial situation, suggests a new report released on 24 January.

Funding Roads for the Future, released by the Association for Consultancy and Engineering (ACE), says that the existing model based on raising funds through fuel duty, vehicle excise duty, and the HGV levy is failing in the face of new technology and changing social trends, such as zero-emission vehicles, ride sharing, and increased urbanisation.

It urges short-term reforms to the existing road taxation system, pushing it towards the longer-term aim of dynamic road user pricing.

The ACE report comes after the Government launched a consultation on reforming the current heavy goods vehicle (HGV) levy, which is used to pay for wear and tear on the roads. Lorries could be charged under a new pay-per-mile regime to cover the cost of damage to the road network.

The report can be downloaded from ACE’s website.

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