From 5 January 2026, new regulations will significantly change how street works are charged and penalised in England. Financial penalties will increase, overrun rules will tighten, and highway authorities will face new requirements for how lane rental income is spent.
For utilities and contractors the message is clear: non-compliance and delays will be more expensive, and effective planning and delivery is essential to reduce the cost of failure.
OPUS gives organisations the visibility and control they need to deliver work efficiently, achieve better outcomes, and turn performance insight into smarter planning.
Key Changes from January 2026
Fixed Penalty Notices Double
Fixed Penalty Notices for street works offences will increase as follows:
- Discount level penalties: £80 increasing to £160
- Standard penalties: £120 increasing to £240
- Maximum FPN: £500 increasing to £1,000
Overrun Charges Apply to All Days
Overrun charges will now apply to all days, including weekends and bank holidays. This change reinforces the need for realistic programmes and timely completion.
Lane Rental Surplus Must Be Spent Transparently
Highway authorities must spend at least 50% of net lane rental surplus on:
- Reducing disruption from street works
- Highway maintenance, such as resurfacing and pothole repairs
This ensures lane rental charges deliver tangible benefits to road users
Why the Rules Are Changing
The updates aim to improve the way that works are managed to reduce disruption to the Highway user:
- Reduce disruption: Overrun charges on all days discourage delayed completions.
- Improve compliance: Doubling FPNs increases the cost of poor administration and permit breaches.
- Support highway maintenance: Re-investing lane rental income improves road conditions and benefits users directly.
Who Will Be Most Affected
These changes will impact organisations that:
- Carry out works on traffic-sensitive streets
- Manage high volumes of notices or permits
- Work to tight programmes
How OPUS Supports Compliance
As charges and penalties increase, manual processes and reactive management create unnecessary cost and risk. OPUS applies AI across planning, delivery, and compliance to provide real-time visibility and control, helping organisations prevent penalties before they occur. It will help:
Anticipate risk, not just react to it – AI-driven insights highlight potential compliance issues, overrun risks, and programme pressure before they become penalties.
Drive down avoidable cost – Early warnings, smarter scheduling, and better visibility help prevent overruns, reduce exposure to Section 74 charges, and minimise Fixed Penalty Notices.
Strengthen compliance performance – A consolidated, auditable view of permits, notices, and works activity supports consistent compliance as enforcement tightens.
Improve decision-making at scale – With OPUS, organisations move from managing street works after the event to controlling outcomes in advance, delivering measurable improvements in both compliance and cost.
2026 Street Works FAQs
When do the new rules start?
5 January 2026. Higher FPNs and broader overrun charges will apply to all works in scope.
Do overrun charges apply at weekends and holidays?
Yes. All days beyond the agreed end date may carry charges.
How are FPN amounts changing?
FPNs are doubling, making administrative and permit errors significantly more costly.
What about lane rental income?
At least 50% of net surplus must go to reducing disruption and maintaining highways, including resurfacing and pothole repairs.
Who is affected?
Utilities, contractors, works promoters, and any organisations regularly occupying the highway in England.
How can OPUS help?
OPUS uses AI to provide earlier insight, stronger control, and better visibility across street works activity. This helps organisations reduce avoidable penalties, improve compliance outcomes, and control cost as enforcement tightens.
By Lucy Mason
Lucy Mason is Strategic Projects Director at Skewb. To speak with her about this topic in more detail, you can connect with her on LinkedIn.
