MPs call for a fair share for the North

Jun 13 2008 by William Green, The Journal

MINISTERS were today condemned for focusing cash on mega-transport schemes in London while ignoring the North East and hindering economic growth.

The Commons Transport Committee hits out this morning at a “narrow” spending focus set to result in London continuing to receive massive sums of cash and calls on ministers to consider the need to boost regional development by upgrading transport links.

The Department for Transport (DfT) has promised to deliver networks that boost growth, but MPs fear this will skew funds to London due to its economic strength – potentially leading to more support for the capital through schemes such as the £16bn Crossrail project.

In a damning report, MPs blasted the DfT for “stalling in making a clear decision” in key areas from national road pricing to new high-speed North-South rail links.

Yesterday the DfT insisted it was investing record levels of cash in the transport network. But the report said: “The Department clearly has substantial issues that need to be resolved, but at the moment there appears to be a lack of clear, tangible vision – at least none that is communicated to the wider world.”

The committee warned of “excessively complex” funding for councils while soaring road scheme costs could lead to delays or cancellation of other vital improvements.

It further attacked the abandonment of lorry charging to make foreign hauliers pay for using UK roads, a failure to deliver congestion targets and “lost interest” in rail punctuality.

Andrew Sugden, from the North East Chamber of Commerce, last night welcomed the committee’s findings and stressed the need to improve the A1 road as well as rail links to boost economic growth.

He said: “This region needs a firm and clear direction on transport investment and that means the transport department not only having a clear strategy but acting on it quickly. We would like to see them make the decision now to put high-speed rail up the east coast to Scotland and to be making the necessary investment to support business in the North East.”

Blaydon MP Dave Anderson said the report supported calls for transport improvements that he and other colleagues had been campaigning for consistently.

“The link between transport and regional development is absolutely key and I hope the minister will take notice of what the report says and will act on the recommendations,” said the Labour MP.

A DfT spokeswoman said it had met targets on rail reliability and road safety early and was already implementing “innovative” measures to tackle congestion with record investment in public transport.

£14.5bn spending could bypass region

THE Department for Transport will be spending £14.5bn of public money within two years – but MPs fear crucial funding could bypass the North East.

The importance of transport to the UK’s economic success has been widely accepted, but the Commons Transport Committee has warned that investment will be concentrated in London. Concerns have been raised because of the risk of a "very narrow perspective" on funding with public service agreements failing to give due consideration to factors beyond the absolute value of improvements in terms of economic performance and growth.

"Major infrastructure improvements in London, such as Crossrail, are likely to have strong benefit to cost ratios because London’s economy is strong."

Key points

:: LONDON set to continue getting huge sums of transport cash because of "narrow" focus that ignores regional schemes that boost economy.

:: Ministers "stalling" on national road pricing and high-speed rail decision, with ruling on link to at least Birmingham needed by 2010.

:: Little appetite for local road charging and accessing special funding – with ministers told to reconsider national scheme.

:: Government accused of lacking a "clear, tangible vision" on transport with lack of clarity on targets, and just one previous goal met.

:: Transport funding for councils is "excessively complex".

:: Upgrades face axe due to soaring costs of road projects and Transport Secretary told to make a Commons statement once an internal review is completed.

:: Ministers have "lost interest" in rail punctuality, which could reverse progress made.

:: Foreign hauliers not paying to use UK roads after charging scheme abandoned but ministers told to revive it.

:: Failure on congestion targets with little time to reverse trend to more serious delays.

:: Concerns about a lack of weight given to dealing with impact climate change or considering effect of biofuels.