Special Report - The case for inland waterway freight transport

By Gerry Heward, Chair of Inland Waterways Freight Group 

Imagine a motorway without any junctions. It simply would not make any sense: “the motorway seems great, if only you could get on or off it.” 

However, this is the situation in which the UK’s inland waterways freight operators operate. A marvellous transport network exists, but there is nowhere near sufficient access.  

With the advent of the motorways in the early 1960s the trend has been to move more freight by road, with a steady increase in lorry sizes to accommodate more freight, to the detriment of both rail and waterways goods delivery. 

As the UK’s economy moved away from manufacturing and towards logistics and distribution, many of the historic waterside areas that supported the Industrial Revolution have been completely redeveloped, some to the point that before and after pictures would render the final scene unrecognisable. 

Nobody doubts the need for new housing units, and the ever-increasing pressure to build more houses has resulted in many of these former industrial brown field sites being redeveloped for housing. These units come with an attractive (for the builder) premium for a waterside view. This shift has made it progressively harder for inland waterways freight operators to identify appropriate access points and wharves for loading and unloading their barges, creating a big challenge in delivering freight services to prospective customers. 

The UK imports through our major ports approximately 426 million tonnes of goods every year., all of which must then be distributed country wide. This is why logistics plays such a massive but often under-appreciated role in the UK economy both through contributing a substantial portion to the GDP and as a job creator.

When Oxford Economics was commissioned by Logistics UK, the resultant report found that logistics plays a key role in boosting the country’s long-term economic potential by “providing UK businesses access to wider markets nationally and globally and improving their competitiveness, which helps improve productivity and raises the UK’s economic productive potential.” 

A 2024 report found that the logistics sector contributes £185 billion to the economy every year and employs 8% of the UK’s workforce. However, congestion and delays, lack of investment and lack of freight transport capacity are making UK logistics less efficient, and the UK’s ranking is slipping globally.  

Clearly, logistics is a crucial component of the country's trade and supply chain: without it and put simply, nothing moves. It supplies hospitals, schools, factories, shops, and homes with everything we use. 

So why are we not using waterways to potential? What we need is an integrated transport strategy that utilises road, rail and waterways freight transport for the efficient movement of goods around the country. The good news is that it already exists. The UK’s canal network was a cornerstone of the Industrial Revolution, shaping the nation’s economic and industrial development.

We were the first country in the world to establish a national waterways system. These canals revolutionised transportation through the efficient and cost-effective movement of raw materials to manufacturing hubs and goods to consumers, far surpassing the limitations of land routes. And all of it on water. why not let freight float again on the 5,000 navigable miles we already have? 

This extensive infrastructure also includes world-famous feats of civil engineering, including the Anderton Boat Lift, the Manchester Ship Canal, and the Pontcysyllte Aqueduct to name just three. In a remarkable legacy, this historic network continues to inform modern transport and infrastructure planning, demonstrating the enduring legacy of past innovations on today’s logistics and commerce.  

We know it works; we have the network in place, gifted to us by our ancestors; we just need to be able to access and utilise it to sensible capacity once more. And of course, it needs to be maintained.

This is why the Inland Waterways Association (IWA), lately through the Fund Britain’s Waterways campaign, has made representation to the government to invest sufficient funding, and by acting as secretariat for the All-Party Parliamentary Group on Waterways to campaign at parliamentary level. 

IWA has now identified the opportunity to exploit the UK’s Inland Waterways as an underutilised mode of transport infrastructure that reaches most major towns and cities in the UK. The 5,000 miles of inland waterways in Britain already exist: a clear case of looking to the past to find the solutions for today.  

While it is unlikely that the narrow canals of the Midlands will see much freight again, the larger waterways of the North East, Manchester Ship Canal and the major rivers where large barges can operate are where the real potential for growth lies. 

What are the benefits of inland waterways freight transport? Barge transport is considerably more environmentally friendly than road or rail per tonne moved and helps to achieve government’s net zero target. Moving goods by barge uses only 17% of the energy required to move goods by road, and 50% of the energy required to move goods by rail. 

The use of Hydrotreated Vegetable Oil (HVO) instead of red diesel reduces CO2 emissions by 90%. Converting inland waterways barges to electric is fairly straightforward and just needs charging points to be put in along the waterways. Moving more freight by barge will reduce congestion on the road network with the associated pollution and air quality reduction with its negative impact on health, together with the attendant costs.

The solution? More wharves, access points and hard standing areas that are dedicated to waterway freight and waterway maintenance use. Crucially, not surrounded by housing because of the inevitable conflict that creates with residents.  

These wharves also need to connect back into the road and rail network to provide a fully functioning multimodal transport network. IWA has been looking to the planning sector to consider these points when examining transport plans and to remember to include the potential for waterways transport along with rail and road. 

Britain's roads are polluted and congested. It is estimated that road traffic congestion will cost British business £18m during 2025 and increase kerbside pollution in urban areas. 

Meantime, under our noses, the UK’s inland waterways are an underutilised asset with a pivotal role to play in reducing congestion, lowering emissions, and improving logistics efficiency. By protecting and investing in more dedicated wharves and better integration with road and rail, we can have a truly multimodal transport network that supports both the economy and the environment.

As road traffic and pollution continue to rise, it is time for planners and policymakers to recognise the value of barge transport and ensure our waterways are part of the solution for a sustainable future. 

Published On: 03/03/2025 12:38:26