Firms to Be Charged for Roadworks on Busy Streets in Merton and Camden

Transport for London (TfL) has announced that utility companies could soon be charged for digging up the busiest roads in Camden and Merton during peak hours. These companies fix gas pipes, water mains, and underground cables, and their roadworks often cause long traffic jams. The new plan is called a 'lane rental scheme,' and it is meant to push companies to work faster and at less busy times. TfL also hopes the fees collected will pay for new ideas to reduce road delays across London.

The lane rental scheme is part of TfL's bigger strategy called 'London on the Move,' which aims to improve how the city's roads are managed. Under the scheme, a utility company that blocks a busy lane during peak hours will have to pay a daily charge. This gives firms a strong reason to finish jobs quickly, work at quieter times of day, and even share digs with other companies so roads are not torn up more than once. Deputy Mayor for Transport Seb Dance said the scheme encourages street works to happen together and outside the busiest hours, cutting disruption for everyday travellers.

Eight more London boroughs have recently had their lane rental applications approved: Barnet, Hammersmith and Fulham, Havering, Kingston upon Thames, Redbridge, Southwark, Sutton, and Tower Hamlets. These boroughs are expected to launch their schemes in autumn, meaning lane rental rules will cover about one third of London. That is a major step toward making roadworks less painful for millions of people who travel across the city every day. The money raised by the charges will be invested in new technology and smarter road management.

A new law called the English Devolution and Community Empowerment Act 2026 gave the Mayor of London the power to approve all lane rental scheme applications from London boroughs. Before this law, such decisions were handled at a national level, which could slow things down. Now the mayor can act more quickly to bring new areas into the scheme. This is seen as an important change in how London controls its own roads.

Local leaders in both Merton and Camden have welcomed the news. Stuart Neaverson from Merton Council said it is 'incredibly frustrating' when utility companies block vital road space for days or weeks, disrupting residents' lives. He said the new charges will help hold those companies to account. James Slater from Camden said the scheme will apply to about one in five of Camden's roads and will improve journey times, support cleaner air, and make streets healthier for everyone who lives and works there.