Sir Keir Starmer visited a Halfords repair shop in Cambridge with Transport Secretary Heidi Alexander to see the damage caused by potholes to vehicles.
The prime minister warned councils to prove they're tackling the issue or risk losing funding.
An additional £4.8 billion will be allocated to roadworks, with councils required to publish progress reports, or face losing 25% of their funding boost.
Report by Covellm.
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