The government has been urged to introduce two major changes to national speed limits as the conflict in Iran threatens UK household finances. A new report from the Institute for Public Policy Research (IPPR) recommends reducing the speed limit in urban built-up areas from 30mph to 20mph and cutting the motorway speed limit from 70mph to 60mph.
The think tank argues that these measures are necessary to manage the energy shock caused by the Middle East conflict. William Ellis, senior economist at IPPR, stated: "The UK cannot afford to sit back and let another energy shock drive up inflation and damage the economy."
Currently, the national speed limit of 30mph on built-up roads is indicated by a red circle sign. These limits are enforced by fixed speed cameras or mobile camera vans in speeding hotspots. For cars, the national speed limit is 70mph on motorways and dual carriageways, and 60mph on single carriageways.
The IPPR report recommends that the UK government should "take a dual win" by implementing both speed limit reductions alongside a temporary 10p cut in fuel duty. This comes after the Bank of England warned that interest rates may need to rise up to six times to 5.25% if oil prices exceed $120 for a prolonged period due to the crisis.
