Logistics companies lose huge sums of money every year because of disruptions caused by road works, but the government is now taking steps to deal with the issue.

The Department for Transport has announced that new technology is being introduced that will make it easier for local councils and utility companies in England and Wales to better manage essential road works.

Local authorities and utility suppliers will be able to share information through one portal, which will help them keep road digging down to a minimum.

Both groups will be legally obliged to utilise the new technology once legislation takes effect in October 2013, although they will have a six-month window in which to implement the system.

Local transport minister Norman Baker believes that councils and water/power companies will save around 2,000 hours every week thanks to this new data sharing approach and this will lead to industry savings of £600,000 a year.

"In total, the street works sector is expected to net savings of £14.3 million over the next ten years, driving efficiencies and saving taxpayers' money," he remarked.