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Local Government Association warns councils will struggle with the rising costs to fix potholes and keep lights on

The soaring costs of keeping street lights on and filling potholes will place pressure on already stretched council budgets and delay works, suggests a new report.

The increased costs for electricity, steel, lighting, cement and even salt for the roads is set to hit council coffers hard, the Local Government Association is warning.

The price of electricity is going to make street lighting much more expensive
The price of electricity is going to make street lighting much more expensive

It says local authorities have experienced a 37.5% increase in the price of running and fixing street lights in the last six months - while salt used to keep roads safe in wintry conditions is facing a 60% price hike compared to last year.

Road repairs are also being made more costly and complicated as a result of war in the Ukraine because 60% of bitumen, used to repair surfaces, was sourced from Russia prior to the conflict and since the invasion supplies have had to be rationed or sourced from other areas which is pushing up costs and delaying work.

The LGA, which represents over 350 councils in England and Wales, is calling on the incoming Prime Minister to urgently help meet these additional cost pressures in full as part of any new budget measures introduced, to ensure councils can operate properly over the difficult winter months ahead.

The price of salt has reportedly increased by 60%. Photo: Stock photo.
The price of salt has reportedly increased by 60%. Photo: Stock photo.

Previous LGA analysis, published in June, showed that councils were facing £3.6 billion unforeseen extra cost pressures for council budgets in 2024/25 due to rising inflation, energy prices and the cost of meeting the new National Living Wage.

Cllr David Renard, Transport spokesperson for the LGA said: "As this stark new analysis shows, councils across the country are facing unprecedented increased costs to repair our local roads, keep our street lights switched on and invest in improved local infrastructure.

"Global pressures, such as Russia’s invasion of Ukraine, as well as increasing inflation and a shortage of materials have all provided the perfect storm for councils and piled pressure on already stretched local budgets.

"To tackle this issue, the new Government must cover these increased costs for councils or risk roads condition getting worse or reductions in other services."

The LGA says councils will struggle to afford pothole repairs
The LGA says councils will struggle to afford pothole repairs

In Kent, council finance chiefs from around the county say difficult decisions lie ahead.

The county council had revealed plans to cut back bus services as part of efforts to save cash in the coming year - a plan it said would save more than £2million by reducing the number of services that weren't financially viable.

However those proposals are currently on hold after a backbench committee called for a rethink and urged the authority to reconsider its plans with further meetings to discuss the proposals now expected to be held.

Bus services in some parts of Kent are under threat. Image: Stock photo.
Bus services in some parts of Kent are under threat. Image: Stock photo.

Reacting to the warning issued by the LGA, Jack Cousens, head of roads policy at the AA, said he didn't want to see any further squeeze on drivers to fill the financial holes.

He explained: "The cost of living crisis is battering everyone and it is no surprise that local councils are struggling to make ends meet. Roads maintenance is expensive and the price of materials is only making the situation worse.

"Plagues of potholes, streets with worn out road markings and hedges covering important road signs seem to increase daily. Warnings over the price of salt will worry road users that a harsh winter could cut them and their communities off from accessing vital services.

"However, rising costs should not be an excuse for squeezing more money out of motorists to fill the financial hole.

"Whilst understanding the increase in prices of materials, there should be adequate funds from traffic and parking revenue to fill those holes."

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