New economic analysis signals a more effective approach to cycling planning

The research, commissioned by Cycling England and produced by independent economists SQW, makes the case for a fundamental rethink in the way local authorities plan cycling.
SQW’s new work shows how local authority planners can apply conventional cost benefit modeling to ensure a better return on investment for every pound spent on cycling.
The study presents for the first time a Cycling Planning Model (CPM) that will help local planners to better assess the number of additional cyclists required to generate a return on investment. The model shows how a surprisingly small number of additional cyclists will pay for investment in new cycling infrastructure. The model suggests:

· An investment of £10,000 requires one additional regular cyclist
· An investment of £100,000 requires 11 additional regular cyclists
The research defines regular cycling as three times a week and measures the impact across the lifetime of a project – assumed in this study to be 30 years.
Speaking today at an LGiU sustainable transport seminar, Bruce McDonald, associate director of SQW Consulting, said a lack of certainty and evidence to make a case for investing in cycling has weakened the political will to increase the number of cyclists.
“The research shows that we do not invest as much as we should. It is essential to work out where cycling adds best value and identify what works. It is therefore critical to build up a database of where new investment has led to additional cycling. By investing to boost cycling rates, we can help tackle problems of obesity, make improvements to people’s health and to the environment. Our work shows that cycling does reduce mortality, leads to huge cuts to NHS costs and reduces absenteeism from the workplace, as well as ease congestion.”
The study draws on previous research published in 2007 by SQW which placed an economic value on the contribution to be made by cycling. It argued that through improvements in health, reductions in congestion and by enhancing the ambient environment, a 50% increase in the number of trips by bicycle would generate benefits worth £1.3bn by 2015. It also estimated that a saving of £28.30 per cyclist per year (on the basis that they cycle three times a week) would be made to the NHS.
Government policy already encourages local authorities to include cycling in the planning process through Planning Policy Guidance 13: Transport 7 (PPG13). But an analysis of the first round of Local Transport Plans (LTPs), running from 2001/02 to 2005/06, showed cycling to be below targets or expectations. Only 25% of local authorities were considered to be ‘on track’ to achieve their core cycling targets.
Phillip Darnton, Chairman of Cycling England, said: “Unless the full benefits of cycling are taken into account we will systematically under-invest in cycling. Cycling must compete for investment with other modes of transport and this requires robust evidence of its benefits. We believe the Cycling Planning Model will help.”