The Department for Transport has made no formal estimate of the cost to (a) Government and (b) local authorities of filling in potholes in England in 2016 or 2017. The Department for Transport has no current plans to estimate the cost to the public purse of repairing all potholes on public roads, although others have made informal estimates of their own.
The Government, for the first time, has set up a dedicated fund for potholes. This is providing local highway authorities in England, outside London, £296 million between 2016 and 2021, including an extra £46 million announced in the 2017 autumn Budget.
This funding is in addition to just under £6 billion the Government is providing to local highway authorities for local highway maintenance in England, outside London.
The management and maintenance of the local highway network falls under the responsibility of highway authorities, such as Lancashire County Council. The Department for Transport endorses the Code of Practice on Well-Managed Highway Infrastructure as published by the UK Roads Liaison Group.
The Department for Transport has made no formal estimate of the total value of compensation for cars damaged on the local road network.
Local highway authorities are responsible for maintaining local roads in their area and are therefore also responsible for compensation.