Switching to sustainable deliveries could save the NHS £4bn, research shows

Research published yesterday has revealed that delivery companies switching to cargo bikes could save the NHS and other government services of £4bn in congestion and air pollution costs.

Published by Oxford-based cargo bike company, Pedal and Post, research shows that if delivery companies switched to using cargo bikes, a mode of transport that is designed for carrying heavy loads or passengers including children, instead of using Vans, the savings in health and environmental costs would equal to £4.25bn across England.

The costs are derived from savings from better health outcomes for riders as they would be pedalling for hours a day increasing their fitness and from fewer accidents that would have previously been caused by van crashes.

In addition, switching from driving a diesel van to a cargo bike, would also reduce the amount of greenhouse gas emissions, making the air we breath healthier.

The Department for Transport research suggests a third (33%) of all urban deliveries could be completed by cargo bike. Meanwhile, a recent report looking at the impact of van pollution by researchers at Just Economics found that the hidden social and environmental costs associated with diesel vans total £2.46bn in London alone.

Chris Benton, CEO of Pedal and Post, said: ‘The potential to clean up our air and grow the UK economy is huge. Pollution from diesel van deliveries costs the NHS nearly £25,000 across the lifetime of the van, compared to around £150 for an electric cargo bike. We also know that cargo bikes can deliver more parcels per hour than the average van, and produce 92% less greenhouse gas emissions per delivery, so it really is a no brainer to make the switch.’

Founded in 2013, the company currently delivers 1,000 parcels a day across the city, employing 23 people as cargo bike couriers and saving 10,000 van miles per year. The figures have been published as the company has just launched a share offer to fund expansion plans.

The low emissions courier company is aiming to raise up to £500,000 through a crowdfunding campaign on the Ethex ethical investment platform to expand further and to launch in Reading in 2024.

In the next five years the organisation plans to increase its revenues to £5.5m, create 140 jobs, increase the number of parcels delivered to 8,000 a day and save 40 tonnes of CO2 emissions.

Image: Galen Crout