A Lane Rental Scheme (LRS) is a regulatory framework that allows highway authorities to charge utility companies and contractors a daily fee for occupying the most traffic-sensitive roads at the busiest times. The aim is to incentivise faster, more efficient roadworks and minimise disruption to road users.
Kirklees Council has developed a LRS and would like to apply to the Secretary of State (SoS) for Transport for powers to operate its scheme before the application deadline of 1 October 2025.
Cabinet is asked to delegate to Executive Director Place in consultation with the Portfolio Holder Highways and Waste, the decision:
1. to consider feedback from the statutory consultation, and to amend the Scheme if necessary following conclusion of statutory consultation.
2. determine whether to make an application to Secretary of State to operate a Lane Rental Scheme.
3. Take all required steps to implement the approved Scheme.
Background papers
DfT: Lane rental schemes: guidance for English highway authorities.
The Kirklees Streetworks Permit Scheme – Year 3 Evaluation Report
House of Commons Transport Committee: Managing the impact of Street works
Kirklees Council ‘Our Council Priorities’ – ‘Get the basics right’
E&CC Scrutiny 20 November 2024 - PROPOSED KIRKLEES LANE RENTAL SCHEME
Engagement and Consultation
LRS development and implementation is subject to statutory procedures that include engagement with highway asset owners, statutory undertakers, and other affected parties.
A Joint Development Group (consisting of council officers and representatives of the statutory undertakers and other asset owners), and a Steering Group (officers internal to the council) have been established to co-develop the suite of documents required to operate of the scheme.
Should the Kirklees application to operate a Lane Rental Scheme be approved by DfT, there will be a requirement to establish an independently chaired Surplus Income Board with an appropriate governance structure, to manage and distribute funds generated through the scheme to highways projects.
The statutory procedure requires further consultation of the documentation developed by the Joint Development Group, the proposed network of Lane Rental streets, and the Cost Benefit Analysis. The consultation will be undertaken between 30 June and 26 August 2025.
The LRS was presented to Environment and Climate Change Scrutiny Panel on 20 November 2024.
Decision type: Key
Reason Key: Expenditure>£500,000 and affects2 or more wards;
Decision status: Recommendations Approved
Wards affected: (All Wards);
Notice of proposed decision first published: 08/08/2025
Decision due: 9 Sep 2025 by Cabinet
Lead member: Portfolio Holder - Highways and Waste
Lead director: Executive Director for Place
Department: Environment & Highways
Contact: Email: donna.hodgson@kirklees.gov.uk.