The government has announced tough new rules to force local councils to spend dedicated road funding on fixing and preventing potholes, or risk losing millions in cash.
Announced on Tuesday (14 April), the Department for Transport is introducing stricter accountability for England’s 154 local highway authorities.
Councils will receive £1.6 billion in pothole and road maintenance funding for the coming year as part of a record £7.3 billion multi-year investment. But that money now comes with strings attached.
Under the updated policy, councils must:
- Publish transparent reports showing that all highways funding is spent exclusively on road maintenance and repairs, not diverted to other budgets.
- Demonstrate long-term asset management plans for their road networks.
- Improve training for highways teams and shift from short-term patching to preventative maintenance and proper resurfacing.
To enforce this, the government has introduced a red, amber, or green rating system for all 154 authorities, based on both the current condition of local roads and how effectively they use the funding. A public map will let drivers see exactly how their council is performing.
£525 million of the funding is being held back until councils prove they meet the new transparency and performance standards.
Those rated “red”, currently 13 authorities, could lose up to a third of their allocation. In return, they will receive £300,000 each in expert support over two years to help turn things around.
“Drivers deserve smooth, safe journeys and we’re making sure every pound goes straight into fixing roads and tackling potholes, not being spent elsewhere.
“Potholes aren’t just an inconvenience, they cost drivers hundreds, if not more, every time they cause damage to a vehicle,” said Roads and Buses Minister Simon Lightwood.
He added that the multi-year funding gives councils the certainty they have long requested to plan properly and reverse a decade of decline in road conditions.
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