BUDGET: Transport group welcomes Osborne’s pledge for Engine of Growth

THE group championing strategic transport investment across the West Midlands, has said it is pleased the Chancellor has recognised that a dynamic and successful region is vital to the UK’s overall economic health.

The Chancellor has designated £5m to the Midlands Connect consortium, which is pressing for better road, rail and freight links to help cement the Midlands as an ‘Engine for Growth’.

The group, which involves political and business leaders from across the East and West Midlands, believes far better transport connections are needed if the region is to fulfil its growth potential and help rebalance the UK economy as a whole.

Andrew Cleaves, chair of the Midlands Connect Partnership Steering Group, said: “The Budget statement is very encouraging and clearly shows that the Government fully recognises that a dynamic and successful Midlands is vital to the UK’s overall economic health.

“But we now need to power up the ‘Midlands Engine’ which is why we have asked Mr Osborne to back a high level summit to discuss the part Government can play in securing a long term investment strategy.”

Cllr Sir Albert Bore, leader of Birmingham City Council, and Cllr Jon Collins, leader of Nottingham City Council, this week wrote to the Chancellor outlining the summit proposal and to express concern over the recent announcement by Transport Secretary Patrick McLoughlin that electrification of the Midland Main Line (MML) was to be put on hold.

In the letter they say: “In light of the recent announcement of the pausing of MML electrification, it will be even more important to set a credible long term investment strategy which can support the building of the Midlands as an Engine for Growth and sustain investor confidence.

“In addition there is a pressing need to ensure the Midlands’ road and rail networks are ready for HS2, amplifying the economic gains that can be delivered by the project, starting with construction of phase 1 in 2017.

“In turn, we will make sure that collectively we work to deliver a compelling case and that progressively we will align our investment and activity in support of the emerging priorities, including any future growth and devolution deals.”

The summit is pencilled in for autumn 2015 and would draw together key national and local players capable of delivering the goals of Midlands Connect.

Those already involved in Midlands Connect include local enterprise partnerships (LEPs), Network Rail, the Highways Agency, local authorities and the business community.

The campaign aims to identify areas for investment and then maximise growth potential by:
•         Developing an integrated plan for improved connectivity to HS2
•         Addressing east-west Midlands connections
•         Addressing capacity for freight movements
•         Improving connectivity to international markets via the region’s airports

Last month the government announced it would be delaying or cutting back a number of modernisation projects planned for Network Rail.

Transport Secretary Patrick McLoughlin said rising costs and missed targets in Network Rail’s investment programme meant that some schemes would have to be ‘paused’ pending a review.

This includes electrification of the Midland Main Line which links Derby, Leicester and Nottingham with London and Sheffield.