Hampshire County Council’s proposal to make utility companies pay up to £2,500 a day for carrying out roadworks on the county’s busiest roads at peak times is heading to central government for approval.

If given the green light by the Department for Transport (DfT), the lane rental scheme could generate a potential £1.6 million a year to be reinvested in highway maintenance, including fixing potholes.

The proposal was approved on January 19 by the cabinet member for highways and public transport, Cllr Lulu Bowerman, at her decision day.

Under national guidance, lane rental charges would apply only during peak traffic periods, with exemptions in place at other times.

If approved, the county council would be able to charge up to £2,500 a day for a full road closure—the maximum permitted under government rules—and £1,500 a day for lane closures or the use of temporary traffic lights.

The council says the primary aim of the scheme is not revenue generation but behaviour change, encouraging utility companies and other works promoters to avoid peak times and complete roadworks more quickly to minimise disruption for residents and businesses.

Based on works data from the past three financial years, the scheme is forecast to generate around £2.8 million a year in gross income.

According to the council, administration costs are estimated at £1.2 million annually, to be funded entirely through the charges, leaving a potential £1.6 million per year available for highway maintenance.

At a morning committee meeting, Tim Lawton, assistant director at Hampshire County Council, said the council had “high confidence” that the proposal “ticks all boxes”.

During the decision day, Cllr Kirsty North highlighted that the maximum charges councils are allowed have not changed since the legislation was introduced in 2012.

She added: “I think it would be fair we reflect that when we talk about the charge, we’re able to implement, it is limited by that legislation, and we could point out that it could be improved or increased.

“I look forward to the scheme being accepted by the DfT and us being able to utilise some of those funds to reduce congestion and repair potholes on our network.”

Approving the proposal, Cllr Bowerman said: “I’m really pleased to see it coming forward. We all had personal experience of congestion on our networks and our roads. To have some form of control in on certain roads in the county would be fantastic.

“[This] is about encouraging behavioural change with the utility companies with anyone doing works on our networks. I think it only could be a good thing, and the sooner we can bring this in, the better.”

If approved by the DfT, the scheme could be introduced later this year.