Most sectors of the economy and the public in general are at the mercy of the increasingly poor state of the UK’s infrastructure, but few industries suffer more than the road hauliers as they battle to navigate crumbling roads, attempting to be as efficient and cost-effective as possible.
Adverse commercial impacts from poor infrastructure
The commercial issues for the industry caused by poor roads cover a broad range of aspects of how they run their businesses, including:
- Extra fuel, maintenance and driver costs incurred by vehicles being stuck in roadwork delays or taking lengthy diversions.
- Operational inefficiencies caused by late notification of road closures, over-running roadworks and ill-considered design of diversions.
- Damage to goods being carried and to vehicles caused by poor road surfaces.
- Stress created in customer relationships because of delayed or cancelled deliveries and damage to urgently needed goods.
- Driver recruitment and retention problems from the unattractive working environment created by these problems.
The infrastructure problems
A survey in August 2023 published by Transport Focus, the independent watchdog for transport users, and entitled ‘Strategic Roads’ asked logistics and coach businesses about the country’s Strategic Road Network managed by the National Highways.
The topics on which the companies were asked their opinions and their satisfaction ratings were:
The road network overall
49% were satisfied, 23% dissatisfied and 28% had no view. This compares with a high of 55% satisfaction in 2020/21 and last year’s rate of 46% satisfaction.
Route planning information
No aspect of route planning information achieved a majority of ‘good’ ratings. The best result was 45% for it helping to plan routes, the worst was 22% for telling drivers how suitable diversion routes were for their vehicles.
On the day road network information
Again no aspect received a majority of positive responses. The best was 46% for unexpected congestion, the worst was 22% for roads not re-opening on time.
Responses to incidents and accidents
The responses here were particularly negative. The best aspect scored only 25% ‘good’ for the time taken to re-open roads after the occurrence, the worst was 14% ‘good’ for consideration of the nature of goods being carried.
Road surfaces
Only 25% of respondents were satisfied with the wear and tear of road surfaces. A slightly higher 34% were satisfied that surfaces were not damaging the goods they carried.
Rest stop facilities
Here too, criticism was rife. Only 23% were satisfied with the number of stops but just 18% were satisfied with the number of spaces. A minimal 13% were happy with the driver facilities and 11% content with the security of parked vehicles. A meagre 8% was satisfied with the value for money of the stops.
What matters most to drivers?
Curiously, what concerned road freight operators most was the way that National Highways managed the network (25%). Other factors were rated:
- Road surfaces (22%)
- Route planning information (20%)
- On the day information (14%)
- Accident handling (12%)
- Rest stops (7%)
What needs to be improved?
The messages from the survey respondents were succinct:
- Reduce the length of roadworks and do them in successive shorter stretches.
- Provide more notice of road works to freight operators.
- Ensure diversion routes are suitable for HGVs, taking into account rest stops, low bridges and driver hour restrictions.
- Put all information about planned roadworks (including diversion routes) in one place.
- Set up a forum for vehicle managers to discuss roadworks issues with National Highways.
- Clear incidents more quickly.
- Increase the number of rest stops, particularly on motorways.
The cost of poor infrastructure to hauliers
The Road Haulage Association (RHA) has estimated that road congestion alone costs the industry £6bn a year, equivalent to 16% of road freight expenditure. The RHS points out that the cost of an HGV stuck in stationary traffic for an hour is £120, a crippling cost at a time when hauliers are under significant financial pressures.
Our latest report into the sector confirms that its finances are below par in a number of key respects. A key finding was that well over a third (38%) of hauliers are at serious risk of insolvency or a major financial restructuring over the next three years. This is less surprising although no less worrying, given the sort of unnecessary costs associated with the sub-standard road infrastructure that road haulage businesses have to endure.
If you are seeking professional advice for your business, Opus is here to help. You can speak to one of our Partners who can discuss options with you. We have offices nationwide and by contacting us on 020 3326 6454, you will be able to get immediate assistance from our Partner-led team.