Green Light for Over 50 Road and Rail Upgrades Set to Deliver 39,000 New Homes and 42,000 Jobs

Millions of commuters and businesses across the UK are set to benefit from quicker journeys as the government gave the green light to over 50 crucial road and rail upgrades. These include the long-awaited A66 Northern Trans-Pennine route and the reinstatement of the Portishead to Bristol city centre rail line.

Working people will also gain better access to jobs and housing through these extensive schemes, which are designed to support the Plan for Change – an initiative aimed at building strong foundations and kick-starting economic growth. This significant investment has been unlocked by the government’s commitment in last month’s Spending Review.

Five major road schemes across the North and Midlands have been confirmed for funding. Among them is the M54 to M6 link road in Staffordshire, which will significantly cut journey times and connect thousands to key economic hubs across the Midlands. Also confirmed is the M60/M62/M66 Simister Island upgrade in Greater Manchester, connecting to developments that could support 20,000 new jobs and 7,000 new homes, subject to planning approval. Further road investments include the A38 Derby Junctions in Derby, set to support 15,400 new homes, and the A46 Newark Bypass in Nottinghamshire, which could support thousands of new jobs and homes, also subject to planning approval.

Crucially, the long-awaited A66 Northern Trans-Pennine route will also be delivered. This vital scheme will cut journey times across the North, support over 10,000 new homes, and connect millions across the region as a key national and international economic route.

The government is also announcing key rail projects nationwide. This includes the reinstatement of a passenger rail line between Bristol city centre and Portishead, a service last run over 60 years ago, which will deliver three brand new train stations, bringing thousands more people closer to a railway. Additionally, funding for a Midlands Rail Hub will create brand new rail links for over 50 locations.

Acknowledging that rail investment outside of London and the South East is long overdue, the government is confirming additional funding across England and Wales. This is expected to improve access to jobs and leisure and stimulate housing growth in the regions.

Transport Secretary Heidi Alexander said: “Roads and railways are the backbone of our economy, which is why we are giving them the record funding boost they need, putting taxpayer’s money where it matters most and making every day journeys easier. With over £92 billion investment, including the biggest ever boost for city regions in the north and Midlands, we’re delivering the schemes that fast-track economic growth and jobs, connect communities, and will help us build 1.5 million new homes, as we deliver our Plan for Change. We’re forging ahead with the vital new transport infrastructure Britain needs, and improving what we’ve already got, to deliver a new era of renewal and opportunity.”

Interactive map of road and rail investment schemes

List of road and rail investment schemes

Transforming the UK’s road and rail networks, oral statement to Parliament, 8 July 2025

It is estimated that over 42,000 new jobs and 39,000 new homes will be supported thanks to the funding committed for these major road schemes, aligning with the government’s Plan for Change to boost economic growth and build 1.5 million more houses over five years. Journey times will be significantly reduced, saving commuters, businesses, and freight thousands of hours every week and boosting economic growth across the entire country.

These new infrastructure commitments are backed by £92 billion of government funding to invest in more projects across England. This includes record levels of funding for upgrading road and rail networks, extending the £3 bus fare cap, providing £1 billion to enhance the local road network, and creating a new structures fund.

To support local journeys, the government is also committing to continue supporting 28 local road schemes vital for connecting and growing communities. These projects, which include the Middlewich Eastern Bypass and A382 Drumbridges to Newton Abbot schemes, are not motorways or trunk A-roads but rather junctions, bypasses, and traffic-easing projects designed to improve millions of congested commutes and unlock further housing and jobs.

Of the total £92.8 billion, Chancellor of the Exchequer Rachel Reeves has already announced £10.2 billion for rail enhancements, aiming to improve connectivity and unlock growth in key areas of the UK that have long struggled with unreliable, infrequent services. This also includes £24 billion for motorways, trunk roads, and local roads nationwide.

Chancellor of the Exchequer Rachel Reeves said: “These vital investments are long overdue, will transform local communities and improve living standards across the country. Investments like these are only possible because we took the right decisions to stabilise our public finances and changed the fiscal rules so we can invest in Britain’s renewal, grow the economy and put more money in working people’s pockets.”

Additionally, the government is investing a further £27 million to reinstate passenger rail services between Portishead and Bristol city centre. The new hourly services will connect an additional 50,000 people to the rail network and support a significant new housing development.

Two new stations, Wellington and Cullompton, have been given the green light in the South West of England, unlocking substantial new housing developments and providing more opportunities for people to access Exeter for leisure, education, and employment. Similarly, a new station at Haxby will now be delivered, bringing an additional 20,000 people within 3 kilometres of the railway, offering easy access to the regional centres of York and Leeds.

The Midlands is also set for a significant improvement to its rail services. The new Midlands Rail Hub will be the region’s largest and most ambitious rail improvement scheme to date. Substantial government funding means a huge increase in additional trains and extra seats can be added to the rail network in and out of Birmingham every day. This will support new homes and foster greener growth across the Midlands while providing faster, more frequent, and brand new rail links for over 50 locations and creating almost 13,000 construction jobs.

Investment will also benefit existing rail users. The East Coast Main Line, which spans the length of the country, is already seeing increased capacity and frequency and will now receive new, upgraded digital signalling. This will boost the line’s capability and resilience, reducing delays by one-third. This rollout will support new digital skills in the rail sector and the creation of 4,800 new roles across the supply chain.

This continued funding for rail schemes across the country is set to open up access to jobs, grow the economy, and drive up the quality of life as the Plan for Change is delivered.

Jonathan Walker, Head of Infrastructure and Planning Policy at Logistics UK, said: “The schemes announced today are significant upgrades to national infrastructure and when complete will make supply chains more resilient and boost trade by keeping goods moving as efficiently as possible. 80% of UK freight travels on roads at some point on its journey to the end user and congestion increases costs and makes journey planning highly unpredictable. An efficient national logistics network is critical to enable business to drive growth across the whole economy and ensures that the right goods are in the right place at the right time – whether that is a factory, office, hospital or doorstep.”

John Foster, Chief Policy and Campaigns Officer at the CBI, said: “Improving transport connectivity is key to unlocking the productivity gains needed to deliver sustainable growth across the country. When businesses can move people, goods, and services more efficiently, it helps them to reach new markets faster and attract the talent they need to grow. Today’s announcement is a welcome step forward and builds on a strong series of planning reforms aimed at delivering the long-term infrastructure the UK economy needs.”

Rail schemes – under consideration

SchemeDescription
York Area Capacity and PerformanceThe York Area Capacity and performance project has been paused until the wider strategy for the ECML – aligned with Northern Powerhouse Rail aspirations – can be developed further. The benefits to passengers of the York scheme would only be realised as part of a wider package of investment on the East Coast Main Line, which seeks to increase capacity between York and Newcastle. This will be kept under review so that the scheme can be delivered in the most effective way in future.
South West Rail Resilience Programme Ph5 (SWRRP Ph5)The delivery of the final phase of the South West Rail Resilience Programme is on hold but preliminary works to support cliff monitoring and drainage are progressing. We have already invested significantly in securing the cliffs and making the coastline more resilience in the South West and need to focus our investment on other projects around the country. We will keep this scheme under review as the preliminary works complete and for funding at future fiscal events.
Midland Mainline Electrification Phase 3 (RNEP)The next phase of electrification of the Midland Main Line has been paused. Due to rising costs and the substantial electrification that has already been delivered, we are prioritising our funding on other schemes over the Spending Review period. We will continue to keep the potential for full electrification of the route under review as part of our plans to decarbonise our railways and as funding becomes available in future.
Peckham Rye Station Congestion Relief (RNEP)The congestion relief scheme at Peckham Rye station is being paused during this Spending Review period. We have had to prioritise our funding on the schemes that will make the greatest difference for passengers and economic growth as soon as possible. The scheme will be kept under review as part of our pipeline of schemes for potential progression in future as funding becomes available.

Rail Access for All feasibility studies

  • Aigburth
  • Ash Vale
  • Battle
  • Bellgrove
  • Bodmin Parkway
  • Bredbury
  • Bushey
  • Castle Cary
  • Chinley
  • Church and Oswaldtwistle
  • Colchester North
  • Dalston Kingsland
  • Dorchester South
  • Dudley Port
  • Dumbarton Central
  • Esher
  • Falkirk Grahamston
  • Flowery Field
  • Gunnersbury
  • Hedge End
  • High Brooms
  • Inverurie
  • Kew Bridge
  • Kidbrooke
  • Leagrave
  • Ledbury
  • Maidstone West
  • Marden
  • Neath
  • Newton for Hyde
  • Port Sunlight
  • Raynes Park
  • Rock Ferry
  • Ruabon
  • Shotton
  • Sileby
  • Sleaford
  • Small Heath
  • South Croydon
  • Stamford
  • Stroud
  • Swanwick
  • Thirsk
  • Ulverston
  • Upminster
  • Walton
  • Whitchurch (Shropshire)
  • Wivelsfield
  • Wymondham
  • Yeovil Junction

Related News

Government Unveils Landmark Infrastructure Pipeline to Bolster UK Construction Sector

The government has launched a new Infrastructure Pipeline, providing construction firms with unprecedented certainty and confidence to invest in major UK infrastructure projects. This...

Network Rail Rolls Out Geofencing Technology on Western Route to Boost Worker Safety

Network Rail's Western route is the latest to adopt Tended's cutting-edge geofencing technology, marking a significant step in the ongoing rollout of geospatial solutions...

Innovators Sought to Boost Safety and Reduce Anxiety at Bristol Temple Meads

Ideas to enhance passenger safety and reduce anxiety at Bristol Temple Meads station are being actively sought, as Connected Places Catapult, the UK’s innovation...

Featured Partners

Randstad Solutions Limited

Business Support

MPI Ltd

Related Articles