Over £4.5 Billion To Transform Transport In North and Midlands

In a historic move, local leaders are set to receive a transformative boost by announcing the £4.7 billion Local Transport Fund, aimed at revitalising transport networks across the North and Midlands.

This unparalleled budget, dedicated to smaller cities, towns, and rural areas, will finance projects of utmost significance for local communities.

The newly unveiled local transport fund, disclosed by UK Prime Minister Rishi Sunak and Transport Secretary Mark Harper, promises improved public transport, reduced travel congestion for private and motor trade drivers, and upgraded local bus and train stations.

The North and the Midlands will receive £2.5 billion and £2.2 billion, respectively, starting in April 2025. This seven-year initiative, introduced as part of Network North, marks the first-ever transport budget exclusively tailored for smaller urban areas, towns, and rural regions, empowering local leaders and communities to invest in projects crucial for their development.

This groundbreaking investment, at least nine times more than the current funding mechanism, is set to have a long-term positive impact on the North and Midlands, fostering job creation, economic growth, and a more balanced national landscape.

To be rolled out from 2025, the Local Transport Fund allows local authorities sufficient time to implement a strategy to ensure efficient implementation. As Prime Minister Rishi Sunak chairs a Cabinet meeting in Yorkshire, he emphasises the importance of holding local authorities accountable, ensuring that funding is utilised appropriately, and giving local voices a say in decision-making.

Rishi Sunak stated, “Through reallocating HS2 funding, we’re investing billions directly back into our smaller cities, towns, and rural areas. This is levelling up in action.”

The Local Transport Fund heralds a new era of connectivity, surpassing the impact of HS2, with the flexibility to benefit more people and places swiftly. This investment, coupled with billions already allocated to roads, buses, and local transport services, will provide long-term certainty to local authorities for transformative improvements from 2025 to 2032.

Motorists and, insurance brokers and providers will be pleased to know the ambitious plans include building new roads, improving junctions, expanding mass transit systems, addressing road issues like potholes, enhancing street lighting for safety, tackling congestion to improve journey times, increasing electric vehicle (EV) charge points helping (EV) motor trade dealers, refurbishing bus and rail stations, and creating safer streets for walking children to school.

To maximise this unprecedented funding, the government will publish advice for local councils and transport authorities, facilitating the development of ambitious plans for local transport infrastructure. Local councils will collaborate with MPs, being held accountable by both the government and their communities. Councils are expected to publish delivery plans specifying the projects they intend to invest in.

This funding coincides with the expansion of devolution deals, which now cover nearly 60% of the English population. This showcases the government’s commitment to empowering local leaders and fostering a more balanced and connected nation.

Transport Secretary Mark Harper said, “This funding boost will make a real difference to millions of people, empowering local authorities to drive economic growth, transform communities, and improve the daily transport connections that people rely on for years to come.

Lord Patrick McLoughlin, Chair of Transport for the North, said, “ TfN looks forward to working with government and local leaders because we know that the travelling public will get better results the more local decisions are made on how those services should be provided.