Scotland would reap multibillion-pound benefits by introducing a more environmentally friendly transport system with better facilities to encourage cycling and walking, according to a new report published today.

Scotland would reap multibillion-pound benefits by introducing a more environmentally friendly transport system with better facilities to encourage cycling and walking, according to a new report published today.

The Towards a Healthier Economy report, published by the Transform Scotland Trust, claims that Scotland's economy could benefit by up to £4bn annually if the country was to move to continental European levels of cycle use to meet Scottish Government ministers' aspirations.

The report also highlights the costs to the Scottish ecomony arising from high car use and international air travel.

The research, which used a number of complex costing methods to calculate benefits, claims switching 20% of Scottish car commutes to walking or cycling would lead to between £0.6bn and £2bn savings every year, more if it reached standards of other European countries.

The Transform Scotland Trust was established to carry out research and educate the public about transport's impact on the economy, environment and society as a whole, and is chaired by Stephen Stradling, Professor of transport psychology at Napier University's Transport Research Institute.

Mr Stradling said: "This report shows the clear benefits to the Scottish economy and quality of life that would result from setting our transport system on a more sustainable course.

"Previous research has shown that a majority of Scottish motorists are keen to cut their car use, and many are prepared to try more active modes of travel, especially for short journeys.

"This research shows the substantial economic benefits that would result from a shift to cycling and walking.

"Given Scotland's frequently dire conditions for walkers and cyclists, especially in urban areas, it is important that the government switch resources into delivering the sort of high quality public realm that the Dutch and the Danes, for instance, take for granted.

"The high rates of cycling - and the concomitant health and well-being benefits - observed in these countries came about because of sustained investment in green infrastructure.

"A substantial investment in cycling and walking is essential. Just as road building results in extra induced traffic', so if we provide more green infrastructure the Theatre of Dreams' argument - If you build it they will come' - will apply to active travel, and with much more welcome consequences."

Dr Helen Zealley, President of Scottish Environment Link and a board member of NHS Health Scotland, said: "It is beyond doubt that we need to see major switches to public transport, walking and cycling if we have any hope of heading off climate chaos.

"This report highlights the range of economic benefits that we can expect if politicians are prepared to take action.

"But there would be other important benefits. Increased levels of walking and cycling will help to stem Scotland's obesity crisis as well as contributing to mental wellbeing.

"It is therefore good news to find that the changes called for in this report will also provide wider economic benefits: a win-win solution.

"I hope that planners will see that they can contribute to two of the government's key strategic goals by investing in active travel' and that colleagues across the health sector will welcome this contribution to the debate on how to deliver a healthier and more sustainable Scotland."

Each driver in Scotland costs the economy £172-£250 per year due to health and congestion impacts and each car passenger costs £100-£145 per year for the same reasons.

In 2004, Scottish residents abroad spent £1.3bn more than visitors spent in Scotland. Professor Stradling said with current air transport growth, this deficit will likely rise to more than £2.6bn per year by 2020.

Scottish residents flying to destinations outside the UK cost the economy £7.7bn per year due to health and climate change costs, it was claimed.

The main recommendation in the report is that the Scottish government's transport appraisal system - the Scottish Transport Appraisal Guidance - should include the direct economic benefits resulting from increased cycling and walking.

But the government should also publish statistics relating to air-based tourism. It is vital to know how much visitors spend in Scotland compared with the amount Scots spend when they fly abroad, the report said.

The hidden costs of Scottish transport

• Switch 20% of Scottish car commutes to walking or cycling - £0.6bn-£2bn savings per year.
  
• Net Scottish tourism spend in 2004 - £1.3bn annual deficit.
  
• Health and climate change impacts of international flights - costs £7.7bn per year.
  
• Each extra car driver - costs £172-£250 per year.
  
• Net Scottish tourism spend in 2020 - £2.6bn annual deficit projected.