The Department for Transport has announced a stringent new policy targeting English councils that fail to maintain their roads effectively, with up to a third of their funding now at risk if they cannot demonstrate proper expenditure on pothole repairs and road upkeep.
Funding Withheld Unless Councils Prove Compliance
In the 2026/27 financial year, £525 million of the £1.6 billion allocated for local roads maintenance will be withheld unless authorities provide evidence they are spending the money appropriately. This marks an increase from £500 million in the previous year, reflecting the government's heightened focus on accountability.
Councils are now required to publish detailed reports showing that all highways cash is dedicated solely to road maintenance, accompanied by long-term plans for protecting infrastructure. These reports must include policies approved by senior local authority members and evidence of training for highways teams.
Ministerial and Industry Reactions
Roads minister Simon Lightwood emphasised the government's commitment, stating, "Drivers deserve smooth, safe journeys, and we're making sure every pound goes straight into fixing roads and tackling potholes, not being spent elsewhere." He added that councils failing to maintain roads risk losing significant funding, with multi-year grants introduced to enable proper planning and reverse a decade of decline.
AA president Edmund King supported the scrutiny, urging councils to "use their funding to resurface roads rather than simply patch-up their streets." Similarly, RAC head of policy Simon Williams welcomed the focus, noting that ensuring council funds are spent on roads is critical for drivers.
Record Repair Costs and National Crisis
The announcement comes amid a severe pothole crisis, with recent estimates revealing the cost to bring local roads in England and Wales up to standard has soared to a record £18.6 billion. A report from the Asphalt Industry Alliance branded the situation a "national disgrace," highlighting that only 51% of the local road network is in good condition.
Despite increased investment, efforts have failed to yield noticeable improvements, with roads resurfaced on average only once every 97 years. Last year alone, 1.9 million potholes were filled across the country, underscoring the persistent and escalating challenge facing local authorities and motorists alike.
