Skip to main content

Traffic congestion costs UK business millions each year

Traffic congestion is costing UK businesses approximately US$957 million (£767 million) a year in lost productivity, according to research conducted by TomTom. The TomTom Traffic Index has found traffic across the UK’s 25 most congested cities and towns increases the time each vehicle spends on the road by an average of 127 hours a year. And the situation seems to be getting worse. An average journey in 2015 took 29 per cent longer than it would in free-flowing conditions, up from a 25 per cent delay
November 29, 2016 Read time: 2 mins
Traffic congestion is costing UK businesses approximately US$957 million (£767 million) a year in lost productivity, according to research conducted by 1692 TomTom.

The TomTom Traffic Index has found traffic across the UK’s 25 most congested cities and towns increases the time each vehicle spends on the road by an average of 127 hours a year.

And the situation seems to be getting worse. An average journey in 2015 took 29 per cent longer than it would in free-flowing conditions, up from a 25 per cent delay in 2010.  

Beverley Wise, director UK & Ireland for TomTom Telematics said that although traffic congestion may be seen as a fact of life for every driver, cumulatively it is taking a heavy toll on the UK economy. She maintains that through smarter planning, routing and scheduling, companies can help their drivers to better avoid traffic, which could not only have an impact on productivity but also customer service. Previous research conducted by TomTom Telematics among UK van drivers found 90 per cent admit to arriving late for customer appointments, with 93 per cent citing traffic as the reason.

According to TomTom, the biggest financial hit was felt in London, where US$296 million (£237 million) is lost to traffic each year, followed by Manchester (US$197 million (£157,729,390)) and Birmingham (US103 million) (£81,364,800)).

For more information on companies in this article

Related Content

  • Is the US economic stimulus programme working?
    January 30, 2012
    In this third installment in a series of articles exploring the impact of the US economic stimulus programme on the ITS industry, Pete Goldin reports on the ongoing debate in Congress about American Recovery and Reinvestment Act. A debate continues to rage in the US Congress and in the media about the effectiveness of the American Recovery and Reinvestment Act of 2009 (ARRA), and especially the timeliness of the ARRA payments. Some of the arguments seem somewhat partisan in origin while others point out fla
  • Government air quality plan ‘under threat from congestion’
    June 20, 2017
    The UK Government’s plan to improve air quality will fail because it ignores the growing impact of congestion on pollution in city centres, sustainable transport experts Greener Journeys warn.
  • RAC research – ‘speed cameras cut accidents by a quarter’
    June 7, 2013
    New research by the UK’s RAC Foundation indicates that speed cameras reduce the number of fatal and serious collisions in areas where they are installed. Analysis of data for 551 fixed speed cameras in nine areas shows that on average the number of fatal and serious collisions in their vicinity fell by more than a quarter (twenty-seven per cent) after their installation. There was also an average reduction of fifteen per cent in personal injury collisions in the vicinity of the 551 cameras.
  • RFID market will be worth over $70 billion over next five years
    April 17, 2012
    The market for RFID transponders, readers, software, and services will generate US$70.5 billion from 2012 to the end of 2017. The market was boosted by a growth of $900 million in 2011 and the market is expected to grow 20 per cent YOY per annum. Government, retail, and transportation and logistics have been identified as the most valuable sectors, accounting for 60 per cent of accumulated revenue over the next five years. “To date, the automotive sector has been a strong proponent of RFID, largely for immo