Local highways and transport shows largest increase in capital spending


Local government highways and transport departments in England showed the largest increase in capital expenditure of any local service sector in 2014-15 with spending up £1.6bn (25%) to reach £8.26bn overall, government figures have revealed.

The total far outstripped housing, which followed next with an increase of £849m in capital expenditure to reach £4.8bn overall, while environmental services increased by the largest percentage up 32.2% from £581m to hit £767m.

The provisional end of year figures from the Department for Communities and Local Government (DCLG) released today show that 2014-15 saw highways and transport reach its highest level as a proportion of total capital expenditure over the last parliament at 37%.


It also revealed that of the £8.26bn spent on highways and transportation the Greater London Authority accounts for £4.41bn.

Capital receipts from highways and transport brought £48m back in.

In total capital expenditure by local authorities in England increased to £22.1bn in 2014-15 from £19.6bn in 2013-14, a year-on-year increase of 12.5%, while capital receipts increased to £2.9bn from £2.7bn in 2013-14, up 7.4%.

Overall capital expenditure is forecast to increase to £25.9bn in 2015-16, a year-on-year rise of 4.5%., with receipts forecast to increase to £3.3bn in 2015- 16.

The DCLG forecasts that highways and transport capital expenditure will fall to £8.11bn this financial year, although such forecasts often have a fairly wide margin of error - for instance capital expenditure in 2014-15 is 18.4% lower than the forecast of £27.1bn.

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