Transport secretary Alistair Darling is this week poised to welcome a new report which could lead to nationwide road pricing.

The study into the economics and technology of road pricing, to be published on Tuesday, is set to call for a "pay as you drive" system to replace the road tax.

Motorists could face charges of up to £1.40 a mile for driving in the most congested areas.

Motorists would be charged for using trunk roads at peak times in a bid to stop unnecessary rush hour journeys.

Low use drivers in rural areas could expect to make a saving over the current yearly vehicle licence fee.

Darling is likely to back the report, which will set out a series of options for road pricing.

He is also set to call on more councils to follow the lead of London by introducing a system of congestion charging.

In a bid to head off opposition from motorists groups, Darling is likely to say that any money generated through road pricing will be ring fenced for investment in transport.