PARLIAMENTARY DEBATE
Road and Rail Projects - 8 July 2025 (Commons/Commons Chamber)
Debate Detail
Today, I am announcing one of the most transformative investments in our transport network for a generation. We are greenlighting over 50 rail and road projects, touching every corner of the country, from more rail capacity in Oxford and better roads in Newcastle to new stations in Devon. This is what delivering on our plan for change looks like. We said we would raise living standards, so today’s announcement is about taking the brakes off growth, supporting 42,000 new jobs and slashing journey times. We said we would build 1.5 million new homes, so we are directly supporting the construction of 39,000 new properties, showing how transport can lift up communities and improve lives. We said that we would accelerate to net zero, so not only will we make our roads safer and less congested and continue the transition to electric vehicles in a sensible way; we will get more people on public transport, backing our railways with new links and more electrified track. More jobs, new housing and better journeys are the people’s priorities, and they are my priorities too.
None of this was inevitable. We are here because this Government are restoring stability to our finances and honesty to our politics. Thanks to the 10-year infrastructure strategy, we are committing at least £725 billion for infrastructure over the next decade, restoring confidence, driving growth and transforming how projects are delivered. Through phase 2 of the spending review, £92 billion will be spent on getting Britain moving. We have already confirmed where some of that money is going, including billions of pounds for upgrades on the trans-Pennine route, which is the backbone of our northern cities; a commitment to build the East West railway line to Cambridge; the biggest ever investment in local transport across the midlands and the north; and over £2 billion to enable Transport for London to continue with the purchase of new Piccadilly, Bakerloo and Docklands Light Railway trains. As the Chancellor said last month, we will also be confirming plans for Northern Powerhouse Rail soon.
Today, though, I can provide more detail on how we will use our wider spending review settlement. Let me start with our main highways. It should come as no surprise when I say that the strategic road network is one of our most important national assets. Carrying one third of all traffic and two thirds of our freight and generating £400 billion for our economy, those essential arteries sustain our businesses, our trade, and our very way of life. However, with much of the network built in the ’70s and ’80s, not only are many routes in need of renewal; there are pinch points where nothing short of new infrastructure will do.
As such, after careful consideration, I can announce that we will fund five more strategic road enhancement projects. That starts with linking up the M54 and the M6 and expanding capacity on the A38, which means better links for thousands of workers in the midlands and supports over 15,000 new homes across Derby. We will also start work on a continuous dual carriageway on the A66 across the Pennines, which will strengthen road safety, cut journey times by 12 minutes and get more people to the region’s stunning national parks. We have set aside funding for the A46 Newark bypass scheme and the Simister Island interchange in Greater Manchester, with both schemes now awaiting the outcome of the live planning process.
Some 97% of trips directly depend on our road network. Whether it is cycling, buses, walking or cars—you name it, our roads carry it. That is why we are investing record funding, with enough to fill an extra 7 million potholes this year, and why we extended the temporary cut in fuel duty at the last Budget. This Government will always be on the side of the British people, who depend on our roads day in, day out.
Today we are going even further. I have approved full business cases on the Middlewich eastern bypass and the A382 from Drumbridges to Newton Abbot, meaning that they can now enter construction. I can also announce that we have secured funding to continue to take forward 28 schemes, from Somerset to Skipton and from Newcastle to North Hykeham. I have spoken about the dozens of schemes that will transform road journeys across the country. The decisions we have made prioritise those essential trips to work, to the shops and to see loved ones, and keep our vital freight sector moving.
Let me turn to the projects that will deliver more reliable journeys for passengers on our railways. We know that rail investment outside London is well overdue. The spending review ramped up funding for the trans-Pennine route upgrade, for new stations and capacity improvements in Wales and for East West Rail. The new midlands rail hub will see the region’s most ambitious rail improvement scheme to date. Thanks to Government funding, huge numbers of additional trains and 20 million extra seats could be added to services in and out of Birmingham each year.
But it is not just about delivering big-ticket projects. I can today announce new rail stations at Wellington and Cullompton in the south-west, which will bring significant benefits to local communities. Following representations from Mayor David Skaith and my hon. Friend the Member for York Outer (Mr Charters), I have also decided to fund the reopening of Haxby station on the York to Scarborough line. We will replace the aged signalling system on the Tyne and Wear metro, securing the benefits of that service for the next generation. I have listened carefully to Mayor Helen Godwin and my hon. Friend the Member for North Somerset (Sadik Al-Hassan) about the need to reopen the Portishead line, and today I can confirm that we will do just that, connecting 50,000 additional people to the rail network.
Make no mistake: these and other projects will not just improve the passenger experience; they are down payments on future economic growth, better connectivity, and the new jobs and homes that this Government have promised. I know that some hon. Members will have specific schemes in their constituencies that are at the early stages or have not been funded in this spending review period, or that were cancelled but not announced as such by the previous Government. Let me reassure colleagues that many are worthy projects, and we will keep them under review. The soon-to-be-published infrastructure pipeline will set out our longer-term outlook and give colleagues the transparency that for years they have sorely lacked.
It is important to set the context. We know that critical infrastructure projects were promised. We know that expectations were raised. Sadly, we know that there was no plan to pay for them. Indeed, schemes that formed part of the previous Government’s major road network programme, all of which were meant to be in construction by now, have not progressed as expected. Almost half are yet to reach the outline business case stage, despite being in the programme for six years. Years of dither and delay wasted everyone’s time and left communities in limbo. That, I must say, is the tragic legacy of the farcical Network North announcement made by the previous Prime Minister. It therefore falls to this Government to make the difficult but necessary choices about future transport projects. We have to level with the British public, provide much-needed certainty and govern with integrity.
Only those projects that are fully costed, affordable and deliver a return on taxpayers’ money will be given the green light under my watch. That means no more black holes, no more busted budgets, and no more promising the moon on a stick—those days are over. I have therefore taken the difficult decision on the strategic road network not to progress the A12 widening scheme. That and dualling the A66 were two of the most expensive strategic schemes on the table, and it was impossible to continue with both. We have also decided not to progress the A47 Wansford to Sutton scheme. We are already investing more than £500 million on improvements to the A47 corridor, with work to dual sections in Norfolk already under way, but it is just not feasible to support further investment at this time.
I understand that some communities will feel frustrated, but by taking this decision we are rebalancing funds towards those areas that for too long have not had the infrastructure investment they deserve. The north and midlands will now get a higher proportion of strategic road spend than we have seen in the past five years. I believe that is the right and fair thing to do.
Finally, the previous Government spent many years and a lot of money developing plans for large local schemes and major road network projects that were never going to be affordable and therefore never got off the ground. We cannot go on like that. Although I have today written to colleagues and councils about 28 schemes that we will fund, many others now need to be reviewed. My officials will work with councils on which schemes to prioritise, and I will update the House on next steps once those discussions have taken place.
We are making a once-in-a-generation commitment to get Britain moving. Better roads and new rail links will raise living standards, increase opportunity and deliver on our plan for change. Throughout, we will always put the British people first. That means being honest about the inevitable trade-offs, understanding that financial stability remains the bedrock of economic growth, and ensuring that we always deliver the best value for taxpayers’ money. I truly believe that talent exists across this country, yet poor connectivity is a drag on opportunity and places a ceiling on people’s aspiration. That changes now. We will reconnect Britain, and we will deliver the world-class transport infrastructure that this country needs. That is my mission. I commend this statement to the House.
I thank the Secretary of State for her statement and for advance sight of it. Make no mistake: infrastructure is the connective tissue that binds our economy together. Our railways and strategic roads are the veins and arteries of our economy, connecting businesses up and down the country. That is why these announcements are to be welcomed, just as they were when they were previously announced by the last Conservative Government. For example, the M54 to M6 link road and the Portishead branch line were both announced and granted permission under the last Conservative Government. The new stations at Wellington and Cullompton and the midlands rail hub were all approved under the previous Conservative Government. The development consent order for the A66 northern trans-Pennine project was signed in March last year under the last Conservative Government. [Interruption.]
The Secretary of State calls from a sedentary position, “Where was the money?” As she well knows, that was in the last spending period, and the forthcoming spending review was always going to be after the general election. I could go on and on, because every single scheme announced by the Government today is the result of the work of the previous Conservative Government. I therefore cannot muster the same enthusiasm as her when it comes to today’s announcement.
The truth, whether they know it or not, is that the Secretary of State and her Ministers have been sent to this House today to stage a distraction, because in recent weeks we have seen the economic credibility and political unity of this Government implode. We have seen the Chancellor, who promised to maintain an “iron grip” on the public finances, forced to contend with unfunded U-turn after unfunded U-turn, all because the Prime Minister has lost control of their Back Benchers. We know what it means: more taxes for families and for businesses—the Chancellor has admitted it herself.
We also know the impact that this will have on the economy. In the last few months the Office for Budget Responsibility, the Bank of England and the OECD have all downgraded the UK’s growth forecasts—by as much as half, in the case of the OBR—so I am afraid that the Government are kidding themselves if they believe that reannouncing transport infrastructure projects that are already in the pipeline will revive an economy that is faltering after a disastrous first year in office. With the tax burden reaching an historic high, inflation almost double the Bank of England’s target and inactivity rising because the Government are seemingly incapable of implementing any kind of meaningful welfare reform, far from fixing the foundations, they are actively undermining them.
Quite aside from the fact that these reannouncements on their own will not revive our faltering economy, no deadline has been set for the completion of the projects, and in the light of that I must question whether the funding for them is as secure as the right hon. Lady claims. Given that the OBR is expected to downgrade growth and productivity forecasts—not to mention Labour’s U-turns—we know that the Government have created a black hole of billions of pounds in the public finances, so I must ask the right hon. Lady how confident she is that funds will not be cut from these projects to fill the Chancellor’s economic black hole. Does she recognise that these projects alone will not revive an economy that is faltering under the Government’s economic mismanagement, and will she give a timeframe for them not just to be started, but to be completed?
What we have seen in recent weeks is the following: a Prime Minister whose unpopularity with the public is apparently exceeded only by his unpopularity with his own Back Benchers and who is now clearly at their mercy; a Chancellor who is wilting under the strain; and a Government with no new ideas, out of steam after only one year in office and forced to rely on ideas thought up by other people. It is no surprise that Ministers would like to speak about anything other than their own record in office, but Britain deserves better than this.
I do not know whether the hon. Gentleman caught what was said by the former Rail Minister Huw Merriman to the Transport Committee last week, but he had this to say about the record of the last Government:
“A lot of promises were made to MPs and others as to the ambition, but it did not match the amount that was actually being set down. By the time I came into post I ended up with a list that was much longer than could be funded.”
I rest my case.
The hon. Gentleman talked of nothing being new. Let me give him some examples of new projects that we are announcing today. We are upgrading the Tyne and Wear metro, replacing a signalling system that dates back to the 1970s and enabling the extension of the metro to Washington. We are providing new railway stations: Wellington and Cullompton in Devon, Portishead and Pill with connections to Bristol, and Haxby in North Yorkshire, which will connect tens of thousands of people to the rail network. Can the hon. Gentleman tell me which Conservative Transport Secretary committed funds to those schemes? He cannot, because none of them did.
Let me also give one of the new roads as an example: the Middlewich bypass in Cheshire. The previous Government rejected the business case for that scheme, but this Government are funding it. New infrastructure, new railway stations and new roads connecting every part of our country—that is the difference that a Labour Government make.
Given that a safe, reliable transport system is vital to economic growth, this capital investment is of course welcome news. We are pleased to see the Government answering the calls of Liberal Democrats and other campaigners for vital upgrades such as new rail investment and improvements on the northern trans-Pennine route. Given the hard-fought campaign by local people in my constituency, I particularly welcome the confirmation of new stations at Wellington—first proposed in the House by my predecessor Jeremy Browne—and Cullompton. I cannot go quite as far as the Secretary of State in agreeing to relocate Wellington in Devon—it remains in Somerset—but both those rail projects are long overdue, and I thank the Secretary of State for engaging with not just me but my hon. Friends the Members for Honiton and Sidmouth (Richard Foord) and others on both sides of the House, including the hon. Member for Exeter (Steve Race), who I see is present, on the vital importance of those stations to the regional economy. The long overdue funding for the west midlands rail hub is also welcome.
Let me now turn to the road infrastructure projects. Many of the schemes announced today have been sought for many years. We are pleased to see investment in the A66, for which my hon. Friend the Member for Westmorland and Lonsdale (Tim Farron) has consistently campaigned, as well as investment in infrastructure in Manchester, Derby and Nottingham. However, we still need clarity on exactly how the funds for these projects will be spent. After years of delays, broken promises and mismanagement—not least on HS2—public confidence in the Government’s ability to deliver major infrastructure is understandably low.
Given the effects of inflation during the 12-month delay of the Wellington and Cullompton stations project, among others, can the Secretary of State confirm that that project will be fully funded and completed in the two years that it will take to construct the stations? When will the Government finally publish detailed plans for Northern Powerhouse Rail? Can the Government give the country a firm assurance that all these projects will be delivered on time and on budget, in a cost-effective manner?
I have one ask. Reddish South train station in my constituency is one of the quietest railway stations in the UK, with just one service per week. The Friends of Reddish South Station group are very active, and I was with them on Sunday. Will the Secretary of State restore proper passenger services at Reddish South train station?
Turning to the south, the cross-city line is the busiest commuter line outside of London, but since covid, we have had just two trains an hour from Lichfield Trent Valley to Birmingham. The midlands rail hub will get us back up to four. Will the Secretary of State come to Lichfield to meet me—potentially on her way to Redditch—and ensure that we can deliver more trains on the cross-city line as quickly as possible?
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