Tunnel firm losses mount despite increase in traffic

Losses continued to mount for the firm that operates the tolled €810m Limerick tunnel last year in spite of an increase in traffic on the route.

New figures lodged by consortium, Directroute (Limerick) Ltd show that it recorded losses of €7.64m last year and this followed losses of €6.7m in 2013.

In the 12 months to the end of December last, the firm recorded a marginal drop in revenues to €21.37m. According to the directors report section of the new accounts, traffic increased in 2014 as motorists recognise the benefits in terms of safety and journey times. A spokesman for the National Roads Authority (NRA) said, yesterday, that traffic levels last year increased by 9% to 17,589 per day against the guaranteed level of 23,000. The consortium receives annual traffic guarantee payments from the NRA when daily traffic falls short of the 23,000. The NRA stated: “We are projecting a 10% traffic increase against 2014, based on current projections for remainder 2015. We are heading in the right direction, with regard to the traffic numbers, and it’s a key index for economic activity throughout the region.”