B.R.F. Renew Pressure for Highway Loan
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IN their latest representations to the I Government for greater highway expenditure, the British Road Federation repeat earlier demands for a road loan. A memorandum, "Road Investment in an Expanding Economy," was sent to the Chancellor of the Exchequer last week calling for a threefold increase in spending to meet current and future needs.
" Without a substantial increase in investment in a road programme." the B.R.F. warn, "trade and industry will be so burdened with additional transport costs as to imperil future trading possibilities."
An early expansion in spending was imperative. The nation could not benefit if investment continued only at its present level. As an immediate priority, a sum three times the present allocation for 1958-59/1961-62 should be placed at the disposal of the Minister of Transport and the Scottish Secretary of State.
Because of the need to alleviate traffic congestion, a slackening of the tempo of roadworks attained this year was unthinkable. Moreover, road-building resources were under-employed: to bring these into use would add to the country's earning powef," produce physical assets and diminish the burden of congestion.
Trebling road spending could be regarded as a reasonable call on capital resources. In 1957, investment in new roads represented only 1 per cent. of gross fixed capital formation, and at its peak the present programme would take no more than 2 per cent, of national expenditure on fixed capital assets.
By comparison with investment in other sectors of public expenditure, present road spending was unduly low. Whereas £500m. was being •expended from 1954-62 on highways; the National Coal Board were to lay out £1,000m. from 1956-65. Railway modernization over 1955-70 would cost £1,200m.„ and development of the electricity industry £3.350m. between 1957-65. On the basis of investment on highways per head of population, Britain's figure of £0.27 a year must be compared with £10.6 for the U.S.A.. £2.5 for France and ELI for Italy.