To obtain the value of transport output, the miles travelled by parties of individuals (see Volume) is multiplied by the average cost per mile of a private hire vehicle (PHV), reduced by 5 per cent to account for time spent waiting for fares – ‘dead time’. The average cost per mile was obtained from the National Travel Survey. An average of five years’ data was used, centred on 1997, and a time series created using the RPI. The value was calculated separately for London and the rest of the UK.

For further details, see Chapter 2 of the HHSA Methodology (downloads).

The value of the output of transport should be interpreted with caution, bearing in mind its sensitivity to some of the assumptions made. See Sensitivity Analysis for results using alternative assumptions about ‘dead time’.