Explanatory note

These Regulations prescribe the basis for calculating the costs or expenses which an authority, body or person may recover under Part IV of the New Roads and Street Works Act 1991(“the Act”).

Part IV of the Act contains several provisions entitling an authority, body or person to take action and to recover the costs or expenses of taking that action from other parties. For example, if it appears to a roads authority that a failure by an undertaker to comply with its duties to reinstate a road is causing danger to users of the road, the authority may carry out the necessary works and may recover from the undertaker the costs reasonably incurred by them in doing so. The Regulations prescribe that costs shall comprise direct costs and overheads, and define what categories of direct costs may be claimed. They also prescribe how overheads are to be calculated.

The Regulations do not apply to costs or expenses recoverable in respect of any action undertaken in relation to a permission granted under section 109 of the Act.