The main typeface used in Italy is called Alfabeto Normale and is a bolder version of the British Transport alphabet. From its use in Spain it is also known as Carreta Conventional or CCRIGE and it is available as Traffic Type Spain from URW++.
A slightly thinner version is available for white letters on dark backgrounds. But nonetheless both version are way too bold for today’s retroreflective road signs. It's easy to imagine how the details will get lost when those letters are viewe