Hopes rise for transport cash
Oct 24 2008 by William Green, The Journal
THE Government is actively looking at “worthwhile” road and rail upgrades in the North East to boost the economy, according to a Treasury minister.
The commitment from Ian Pearson, Economic Secretary to the Treasury, came after Tyne Bridge MP David Clelland said such schemes would be of major benefit to small businesses in the North East in the current economic downturn.
Mr Clelland has also tabled a Commons motion urging Chancellor Alistair Darling to provide funds to fully dual the A1, A66 and A69 and improve local rail services after he promised to redirect billions of pounds into schemes that will assist the slowing economy.
Major projects like Crossrail and the 2012 Olympics – both in London – could benefit from the switch of cash, along with big defence contracts.
Speaking in the Commons, Labour’s Mr Clelland said: “The Chancellor of the Exchequer is considering bringing forward capital works in order to stimulate the economy in the face of the economic downturn.
“Is the Minister aware that improvements to the major road network and local rail services in the North East, which are currently outside the scope of regional funding allocations, would be of major benefit to small businesses in the North East, which have been calling for such improvements for some time?
“Will my honourable friend draw to the attention of the Chancellor of the Exchequer the opportunity that the proposal presents for helping small businesses in the North East of England?”
Mr Pearson said: “My honourable friend is right to point out that a number of worthwhile infrastructure projects could be brought forward to provide strong economic benefits while at the same time helping small businesses during difficult economic times. We are actively looking at such possibilities.”
Peter Atkinson, Tory MP for Hexham, said he was disappointed that upgrades to the A1 had not already been completed.
“I would not be holding my breath that this was going to result in the dualling of the A1. I suspect it might result in the non-cancellation of Crossrail,” he said.
