New technology is being brought in to make it easier for local councils and utility companies in England and Wales to manage road works, Local Transport Minister Norman Baker has announced.

The electronic changes that come into force on 1 October will modernise the way road works are co-ordinated and administered, making it easier and quicker for councils and utility companies to share information. The new technology will mean that more information on the timing and co-ordination of road works can be stored on one computer system.

Local Transport Minister Norman Baker said: "Nobody likes having their journey disrupted by road works. By cutting red tape and making it easier for councils and utility companies to work together, road work can be carried out more efficiently, with considerable savings made to the public purse. This will free up time and resources that could be better spent delivering other services that will benefit road users in the future.

"It is estimated that about two thousand hours could be saved by councils and utility companies every week by using the new system, saving industry alone £600,000 a year.

"In total, the street works sector is expected to net savings of £14.3 million over the next 10 years, driving efficiencies and saving taxpayers' money."

All councils and utility companies will be legally bound to use the new system - known as the electronic transfer of notices (or ETON) system - when legislation comes into force in October. Councils and utility companies will be given a six month window to move over to the new system, with all councils expected to be using the new technology by 1 April 2014.

The new technical specification has been published on the department's website and provides councils and utility companies with further guidance on the changes.