Sustainable transport: The key to unlocking the benefits of new housing

This report explores the relationship between sustainable transport and housing, and the corresponding impacts on the economy and society. This work was funded by Greener Journeys and the Department for Transport for the Transport Knowledge Hub, and independently undertaken by KPMG.

We need to build approximately 300,000 new homes per year for the foreseeable future to abate the UK’s housing crisis.  The location of developments and their interaction with transport networks will have a significant influence on economic, social and environmental outcomes.  This case study explores the relationship between sustainable transport and housing, and the corresponding impacts on the economy and society.

  • The expected economic impact of new developments is stronger when they is located in the regional centre relative to the urban fringe. Strong agglomeration impacts can stimulate 50% more economic growth.
  • Local population growth arising from new housing leads to increased levels of highway congestion, creating a drag on the economic benefits equal to 8% in the regional centre and 12% at the urban fringe.
  • Increasing the capacity of transport networks is a key part of the solution. Where possible the location of new housing should be sited to reduce car dependency and support the viability of sustainable transport.

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