Latest Rail News

26.11.15

Capital spending increase means HS2 construction can begin – Osborne

The government is to increase investment in major transport projects over the current Parliament by 50% to £61bn, the chancellor revealed in his Spending Review. 

It means that construction of HS2 to link the Northern Powerhouse to the south can begin. And the electrification of lines like Trans-Pennine, Midland Main Line – both of which have seen their completion dates pushed into CP6 – and Great Western can go ahead. 

George Osborne said: “The Department for Transport’s operational budget will fall by 37%.

But transport capital spending will increase by 50% to a total of £61bn – the biggest increase in a generation.” 

Following the Spending Review, Sir Peter Hendy released his long-awaited review which said that Network Rail plans to raise £1.8bn through the sale of “non-core assets” to meet the increased costs of its enhancement programme

David Sidebottom, passenger director at the independent watchdog Transport Focus, said: “Passengers will be reassured that Sir Peter Hendy has found ways to continue with the investment in the much-welcomed and long-promised improvements. This follows years of above-inflation fare increases, increasingly crowded trains and disruptive engineering works. 

“However there are delays to schemes and new plans to bring in revenue with the sale of station retail facilities. Passengers will want to see that these new plans are robust and can be now be delivered to help rebuild trust.” 

Effective infrastructure 

Osborne also revealed that the government will establish a new £300m Transport Development Fund, supporting development work for transformative transport infrastructure projects. 

This could include providing development funding for projects such as Crossrail 2 and proposals emerging from the Northern Transport Strategy, following advice from the National Infrastructure Commission (NIC) at Budget 2016. 

The independent NIC, headed by Lord Adonis, will enable long-term strategic decision making to build effective and efficient infrastructure for the UK. 

Recently, Lord Adonis said that new major infrastructure projects like Crossrail 2 and HS3 should look at “wider sources of funding”, including private sector investment, rather than simply receiving money from the Treasury. 

Comments

There are no comments. Why not be the first?

Add your comment

 

related

Rail industry Focus

View all News

Comment

The challenge of completing Crossrail

05/07/2019The challenge of completing Crossrail

With a new plan now in place to deliver Crossrail, Hedley Ayres, National Audit Office manager, major projects and programmes, takes a look at ho... more >
Preparing the industry to deliver trains for the future

04/07/2019Preparing the industry to deliver trains for the future

The move to decarbonise the rail network involves shifting to cleaner modes of traction by 2050. David Clarke, technical director at the Railway ... more >

'the sleepers' blog

Apprentice to Co-leading the Rail Sector Deal

05/06/2019Apprentice to Co-leading the Rail Sector Deal

In a series of Q&A’s with key speakers on the run up to TransCityRail Midlands, we caught up with TransCityRail panellist and Amey’s commercial account director, Anna Delvecchio, for her insight into what the Rail Sector Deal mea... more >
read more blog posts from 'the sleeper' >

Interviews

Andrew Haines, CE of Network Rail, tells BBC News his organisation could issue future rail franchises

24/06/2019Andrew Haines, CE of Network Rail, tells BBC News his organisation could issue future rail franchises

By Ewan Quayle, Rail Technology Magazine Reporter Andrew Haines, the Chief Executive of Network Rail, has told the Today programme on Radio 4's BBC’s flagship news programme that ... more >
Malcolm Holmes, executive director of West Midlands Rail Executive, announced as TCR Midlands speaker in Birmingham

24/06/2019Malcolm Holmes, executive director of West Midlands Rail Executive, announced as TCR Midlands speaker in Birmingham

Ahead of his appearance, Malcolm Holmes spoke with Rail Technology Magazine about what key leaders in the industry were doing to improve rail in the Midlands. He said: “It’s very... more >